What Is Going on With Helbiz (HLBZ) Stock Today?

  • Helbiz (NASDAQ:HLBZ) is one of the biggest winners in the market today.
  • Shares of HLBZ stock are surging more than 40% on little news.
  • Insider buying activity and a secondary offering appear to have investors excited about this speculative stock.
A row of Helbiz (HLBZ) bikes.
Source: MarbellaStudio / Shutterstock.com

Today, Helbiz (NASDAQ:HLBZ) is one of the most intriguing stocks to watch in the market. This micro mobility company has seen its price surge more than 40% in a wild trading day. At the time of this writing, HLBZ stock is close to the 40 cent level. Yesterday, shares closed at just over 26 cents.

Now, putting today’s move in context is important. A year ago, HLBZ stock traded for more than $10 per share. On a year-to-date (YTD) basis, it has lost more than 90% of its value. Like other de-SPAC companies, this year has been rough sledding as investors continue to de-risk their portfolios.

That said, Helbiz did previously gain significant buzz around its core offering. The company’s electric scooters, bikes and mopeds have been popular in markets like Italy. Bringing these products to the U.S. in a big way is something investors initially jumped on. But that was last year.

Let’s dive into what’s driving new enthusiasm in HLBZ stock today.

What’s Going on With HLBZ Stock Today?

With little fundamental news on tap, today’s rally appears to be related mostly to Helbiz’s low share price and relatively small float. A speculative stock at this penny stock range, HLBZ is a company that momentum traders may look at as a vehicle to play the market rally. It’s a high-beta play and, in this market, that can be a good thing on days like today.

That said, there are some other catalysts investors are jumping on right now. CEO Salvatore Palella has been steadily buying shares, announcing his most recent purchase last week via a Form 4. A secondary offering of warrants is something investors may like as well, as it adds to the company’s liquidity profile.

Of course, when a name like HLBZ stock is beaten up to this extent, usually stock or warrant offerings aren’t a good thing. However, the company’s management team appears to be buying into the vision here. And at sub-40 cents, there’s a lot to like about the upside potential of shares amid a rally.

For now, Helbiz appears to be a speculative bet in a turbulent market. If things turn around, though, it could certainly be a stock to watch moving forward.

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On the date of publication, Chris MacDonald did not hold (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.

Chris MacDonald’s love for investing led him to pursue an MBA in Finance and take on a number of management roles in corporate finance and venture capital over the past 15 years. His experience as a financial analyst in the past, coupled with his fervor for finding undervalued growth opportunities, contribute to his conservative, long-term investing perspective.


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