ENGlobal Corporation (NASDAQ:ENG) was up 24%. The company reported the attainment of its core objective in the strategic transformation of the business. CEO Mark Hess said that although wider energy industry segments have started recovering from COVID-19 pandemic impacts, ENGlobal’s operations, which always lag the energy sector by up to nine months, have not improved as of the end of Q2 2021.
However, Hess said that they are taking the necessary steps to strengthen its position to leverage the anticipated business activity in markets. He added that they had transitioned to a vertically incorporated delivery firm from an engineering consultancy company.
Thanks to recent senior management changes, the company has expedited its transformation with significant objectives attained in 2021. Some of the achieved objectives include redefining strategic growth and market focus, improving business development and management teams with six new hires, rebranding with a progressive logo, redesigning the website to describe product offering, market focus, safety record, and accomplishments boosting marketing program. With the restructuring, investors should watch ENG.
Market Reaction:
On Monday, ENG stock surged 24% at $2.83 with more than 20.81 million shares, compared to its average volume of 1.62 million shares. The stock has moved within a range of $2.4100 – 3.0000 after opening the trade at $2.41.
