Wunong Net Technology (NASDAQ:WNW) is a stock that is up nearly 100% today, at the time of writing. This stock has actually already been halted today due to its rise, on seemingly no news. WNW stock is also highly volatile. This stock traded in excess of $160 per share after its IPO in December. Currently, the company trades around the $26 per share level.
Here are seven things investors should know about WNW stock:
- Wunong was founded in 2018, and is a relatively new public company. WNW began trading on the Nasdaq Exchange in Dec. 2020.
- WNW stock has remained highly volatile since its IPO, and a speculative bet for investors focused on e-commerce growth in the Asia Pacific region.
- This company operates an e-commerce website aimed at direct retail sales of consumer food products in China.
- The products Wunong focuses on are primarily green, organic, pollution-free food items.
- The company does have a number of strong catalysts supporting its business model. However, little information exists on the company’s operations.
- Today, the company released an SEC filing on a subsidiary that was set up in September.
- This appears to be a speculative stock for investors looking to play volatility in small-cap stocks (less than $1 billion market capitalization).
Bottom Line on WNW Stock
Wunong appears to be an example of the largess that is being seen in difficult-to-value small-cap companies right now. Retail investors have picked targets to go after, and have been successful in achieving some pretty serious short-term price movements in recent weeks.
In the case of Wunong, there could be speculation that a deal is on the horizon, and this filing is in some way linked to such a transaction. Right now, there appears to be nothing to justify the price movement in this stock. I’d caution investors to remain consistent with their long-term investment strategies and avoid piling into momentum spikes like what we’re seeing in WNW stock.
Inevitably, the tide turns on these volatile trades, and some investors are left holding the bag.
On the date of publication, Chris MacDonald did not have (either directly or indirectly) any positions in the securities mentioned in this article.