Grom Social Enterprise Inc. (NASDAQ:GROM)is up 70% in 2 weeks. The company’s shares recently surged 169% to $4.71 despite the entertainment and social media company for children not issuing any regulatory filings or press releases.
Shares of the company also recently gained 125% to $3.94 on a volume of over 27 million, relative to the 65-day average of 687,849. However, shares were paused briefly because of volatility. The use of social media among children has become a prominent topic in recent times. According to The Wall Street Journal, which discussed Facebook’s internal research in its Facebook Files series, Instagram has been found to be harmful to a significant percentage of children.
The company was a subject of a Tuesday Benzinga article titled, “Kids Just Wanna have Fun: Grom Social Media App Provides Safe Online Space for Children.” The Grom app offers entertainment content, chatting, and videos creation, and it is ideal for parents that are not read to let their children use the conventional social network. Therefore, GROM is worth watching in the coming weeks.
Market Reaction:
On Friday, GROM stock moved down 3.57% at $4.5900 with more than 25 million shares, compared to its average volume of 5 million shares. The stock has moved within a range of $4.3600 – 5.4200 after opening the trade at $4.8400.
