SPRT Stock: Why Experts Are Betting on a Bright Future for Support.com

While SPAC mania has died down, some existing publicly traded companies are looking at unique ways to create shareholder value. One such company that has agreed to be a reverse takeover is Support.com (NASDAQ:SPRT). Indeed, SPRT stock’s recent move to engage in a reverse merger with Greenridge Generation Holdings has stoked a lot of interest from high-profile investors, as well as the retail investing crowd.

Concept art of crypto mining with little figuring and a Bitcoin (BTC) token.

Source: Shutterstock

Indeed, Support.com is a stock that has already seen significant interest as a short-squeeze candidate for some time. The company’s high level of short interest (currently around 23%) has resulted in a number of near-term spikes in SPRT stock this year. Today’s spike of more than 20% is indicative of the kind of volatility we’ve seen in this stock for some time.

These short-term moves have also revived SPRT stock from an otherwise downward decline in recent years. It appears investors are willing to jump aboard the reverse merger news in a big way.

Let’s take a look at some of the commentary on this merger, and what the experts think.

Experts Jumping on SPRT Stock as a Potential Trade

Investing influencer Will Meade recently tweeted, “Huge unusual call options activity in $SPRT $SPRT is one of the cheapest and lowest cost publicly traded #Bitcoin miners and its the only publicly traded #Bitcoin miner with its own power source (it has its own natural gas power plant) Buyer 3700 $SPRT 6/18 $5 calls for 35 cents.”

This tweet was accompanied by several other tweets highlighting the value this deal should provide investors in SPRT stock. Indeed, investors seem to like the potential this merger brings. As one of the lowest-cost Bitcoin miners in its segment, Greenridge could potentially unlock tremendous value for shareholders. The company’s natural gas power plant makes this a more sustainable and cost-effective play in the Bitcoin mining space. This business model also combats recent criticism about the power usage tied to proof-of-work mining.

The deal may take some time to complete. However, investors seem willing to jump aboard today. Accordingly, for those looking for momentum plays, SPRT stock looks like it’s set up nicely for a near-term trade.

On the date of publication, Chris MacDonald did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.

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Article printed from InvestorPlace Media, https://investorplace.com/2021/06/sprt-stock-why-experts-are-betting-on-a-bright-future-for-support-com/.

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