Although the company made a key announcement on Thursday with regards to a new venture, the investors did not seem particularly enthused with regards to the V Group Inc (OTCMKTS:VGID) stock and it ended the day with losses of as much as 28%.
Trading Data
On Thursday, VGID stock plunged 27.78% at $0.0007 with more than 206.91 million shares, compared to its average volume of 44.29 million shares. The stock has moved within a range of $0.0006 – 0.0009 after opening trade at $0.0009.
V Group Embarks on New Venture
The decline in the stock was considerable but at the same time it might be a good idea to perhaps figure out if the correction might present an opportunity to get into the stock. The company announced that on December 1, 2021 it had inked a letter of intent with regards to the acquisition of a company that is engaged in the health care space.
While the identity of the company was not revealed, V Group noted that it was involved in the In-Home Care space for the elderly. However, it is necessary to note that the In-Home Care industry is a fast growing and lucrative sector, which clocked sales of as much as $135 billion in the United States along in 2020.
More importantly, the space for elderly In-Home care is expected to grow steadily as the population continues to grow older. Despite the steep fall yesterday, the V Guard stock could be one to keep an eye on.
Technical Data
VGID stock is trading below the 20-Day and 40-Day Moving averages of $0.0009 and $0.0010 respectively. Moreover, the stock is trading below the 200-Day moving average of $0.0015. The stock is down 45% in the past month.
