COMSovereign Holding Corp (NASDAQ:COMS) jumped 4% after announcing that its unit, Innovation Digital LLC, signed strategic development cooperation with IQ-Analog, focusing on “beyond 5G” wireless communications. IQ-Analog is a wide transceiver solutions developer targeting net gen cellular and military communication systems.
According to the strategic partnership terms, IQ-Analog will integrate Innovation Digital’s digital signal processing architectures and algorithms into next-gen application Specific Integrated Circuits meant to military and commercial markets. The alliance plans to offer unique solutions for the multi-billion military market that include RADAR, communications, and phased array sensor applications.
COMSovereign also reported its Q2 2021 financial results in which revenue was $3.611 million compared to $2.01 million in Q2 2020. The sales increase is attributed to the Drone Aviation, Sovereign Plastics, and DragonWave business units. Revenue was up 73% sequentially, with the increase reflecting Sky Sapience contribution, which the company acquired in February this year, and the production increase that occurred in late Q2. So, in the coming months, COMS is worth watching.
Market Reaction:
On Wednesday, COMS stock gained 3.70% at $1.97 with more than 114k shares, compared to its average volume of 320k shares. The stock has moved within a range of $1.8700 – 1.9950 after opening the trade at $1.92.
