Shares of Meta Materials (NASDAQ:MMAT) opened higher by over 15% as the company seeks to keep its winning streak intact. A recent memorandum of agreement (MOU) and insider buying has helped buoy MMAT stock.
With the MOU, Meta will supply its PLASMAfusion technology to reduce the reliance on copper in lithium-ion batteries. The reduction of copper results in a lesser battery weight, which can help increase energy density and the range of an electric vehicle (EV). An EV needs about 2.5x the amount of copper when compared to a traditional internal combustion engine (ICE) vehicle. On top of that, the heavy global use of copper could result in a scarcity of the metal by 2035.
Last week, Meta held the grand opening of its 68,000-square-foot Global Headquarters & Centre of Excellence (COE) in Nova Scotia, Canada. The facility will likely help Meta advance its diverse portfolio of technology.
With that in mind, let’s dive into the insider purchases of MMAT stock.
MMAT Stock: Director John Harding Buys 126,000 Shares
On Nov. 16, Director John Harding purchased 126,000 shares at an average price of $1.74 per share. The shares were purchased through Harding Partners, Harding’s investment vehicle. Following the purchase, the director now indirectly owns 126,000 shares through Harding Partners and directly owns 96,915 shares. The 96,915 shares were all acquired in August at a price of zero dollars per share.
In October, 10% owner Gordon Welch exchanged 3 million exchangeable shares for common stock. Half a million of the shares were exchanged at an average price of 97 cents, while the remaining shares were exchanged at an average price between 64 and 65 cents. In the past year, MMAT insiders have purchased 241,512 shares and sold 583,659 shares. That adds up to a net of 342,147 shares sold.
Meanwhile, retail investors are calling for a short squeeze. As of Oct. 31, the short percentage of float totaled just 2.4%. That’s equivalent to 7.65 million shares shorted with a value of $8.11 million, which would take one day to fully cover. The short interest figure doesn’t exactly support a short squeeze, although the data is delayed by about a month.
On the date of publication, Eddie Pan 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.