Shares of Meta Materials Inc. MMAT, a Canada-based manufacturer of functional material and nanocomposites, have been in a rally mode since the start of the week.
What Happened: The upward move has come along with a significant increase in volume, with about 38.05 million shares exchanging hands on Wednesday alone compared to the average volume of 4.52 million. The stock was the top trending ticker on StockTwits on Wednesday.
And more importantly, the stock has moved in defiance of a broader market downturn seen since Oct. 5.
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Meta Materials, which closed 2021 at $2.46, retreated along with the broader market, bottoming at $0.63 on Oct. 3, a pullback of about 75%.
Tech stocks have led the market sell-off this year, and Meta Materials was no exception, as investors took money off the table amid the trying economic conditions.
Why It’s Important: After consolidating around the depressed levels, the stock took off on Monday, gaining roughly 12%. The stock tacked on another 5% on Tuesday before soaring 32.96% to $1.05 on Wednesday, according to Benzinga Pro data.
Thus far this week, Meta Materials has advanced 56.7%. Over these three sessions, the broader S&P 500 and the Technology Select Sector SPDR Fund XLK have shed 1.7% and 3.5%, respectively.
The last update from the company was from Sept. 29, when it said it received a $4.3 billion purchase order for its nano-optic security business from an unnamed G10 central bank. This was part of a contract, with a potential maximum value of $41.5 million over a five-year period, it added.
A Form 4 filing with the SEC on Oct. 3 revealed that Welch Gordon, a 10% owner, bought 2.5 million shares in the company in two transactions, with the purchase price at $0.65/share and $0.64/share.
Image and article originally from www.benzinga.com. Read the original article here.