Guardforce AI (NASDAQ:GFAI) has been in the spotlight in recent days, as the company has ridden a wave of interest in artificial intelligence ( ). Today, however, GFAI stock is trending because it is tumbling after the company announced it will implement a 1-for-40 reverse stock split.
Based in Singapore, Guardforce AI “offers cash solutions and cash handling services in Thailand,” along with information security. Additionally, GFAI is utilizing AI-based robotic solutions to assist many businesses. Finally, the company has a Robotics-as-a-Service business.
More About the Reverse Split
Earlier today, Guardforce disclosed it had carried out a 1-for-40 reverse split of GDAI stock. As a result of the split, the number of shares outstanding of the company’s stock will fall to about 1.6 million from nearly 65 million.
Additionally, the change, which is slated to be implemented tomorrow, will enable GFAI stock to comply with Nasdaq rules that require share prices to be $1 or higher. Yesterday, the stock closed at 54 cents and in pre-market trading today, it changed hands for 46 cents.
The AI Trend Is Continuing
Sparked by the interest in OpenAI’s ChatGPT, an AI-powered bot that answers questions posed to it, the market’s interest in AI technology continues to remain high. Baidu (NASDAQ:BIDU) stock rallied after the company announced it would launch a similar bot and Aurora Mobile (NASDAQ:JG), another China-based company, disclosed that it would utilize ChatGPT’s technology.
Among U.S. companies, Microsoft (NASDAQ:MSFT) CEO Satya Nadella earlier this week reported the company’s Bing search engine is utilizing ChatGPT technology, while Alphabet (NASDAQ:GOOG, NASDAQ:GOOGL) displayed its own AI technology. However, its demonstration backfired because its system made a factual error.
On the date of publication, Larry Ramer 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.