IDEX Stock: The Crowdfunding News Taking Ideanomics Higher Today

A new crowdfunding platform focused on environmental, social and governance investing(ESG) has electric vehicle company Ideanomics (NASDAQ:IDEX) stock popping today.

A hand holds an electric vehicle battery charger up to a car.

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On Friday, Nov. 12, New York-based Ideanomics announced JUSTLY Markets, which is an equity crowdfunding platform for investors of all income levels to invest in early stage private companies and startups. People can invest in ESG-focused companies and startups with as little as $100.

The news comes before Ideanomics releases its latest quarterly financial results after markets close today and has IDEX stock up more than 5% this morning. IDEX stock closed at $1.99 on Friday.

What Happened With IDEX Stock

In a news release, Ideanomics said JUSTLY Markets is focused on providing investors with a “premium platform to showcase diversity, sustainability, and social consciousness to a growing pool of passionate investors who share the same values.”  The company also said that JUSTLY Markets plans to target companies looking to raise up to $500 million.

At the same time, Ideanomics issues quarterly results later today.

Analysts anticipate the company will announce a quarterly loss of 1 cent share, which would represent year-over-year growth of 66.7%. Company revenues are expected to be $32.5 million, up 206% from the previous year.

Why It Matters

The launch of a crowdfunding site focused on ESG and aimed at small investors shows both that Ideanomics is taking steps to diversify its business and appeal to the retail investing crowd that has underpinned its IDEX stock this year. Year-to-date, its share price is down a slight 3%. However, it has risen 6% over the last month and was as high as $5.53 in early February when it was targeted as a meme play.

News of the crowdfunding platform, coupled with stronger-than-expected earnings, could be a catalyst to send IDEX stock higher. The shares look sure to move higher at the opening bell today, and a positive earnings report could sustain momentum in the stock. The question will be, how long will a new rally last?

While referred to as an electric vehicle company, Ideanomics does not actually manufacture cars. Instead it plays a role in financing, leasing and providing energy management services for commercial electric fleet operators. Its subsidiaries in this way touch on many themes related to EVs and clean energy.

What Comes Next for Ideanomics?

Investors are reacting positively to the new ESG crowdfunding platform and shareholders should see a nice gain in today’s trading session. Earnings after the bell are the next big event for the company and the performance of IDEX stock will hinge on whether those earnings meet, exceed or disappoint the expectations of Wall Street.

Investors may want to wait on the sidelines to see how earnings shake out before grabbing shares.

On the date of publication, Joel Baglole 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 Publishing Guidelines.

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