Anyone who has been tracking the Guardforce AI Company Limited (NASDAQ:GFAI) stock may have noticed that after having gone through a strong rally not in the previous days, it corrected sharply on Tuesday. The stock suffered from a sharp selloff yesterday and went down by as much as 29% amidst a downward spiral.
Trading Data
On Monday, GFAI stock slumped 29% to $1.15 with more than 9.39 million shares, compared to its average volume of 5.09 million shares. The stock has moved within a range of $1.1200 – 1.4300 after opening trade at $1.42.
Guardforce AI Announces Preliminary Full Year 2021 Results
While the decline in the stock was significant, it should be noted that there was no news at all about the company yesterday and the decline may, in fact, appear random to many investors. In this situation, it may be a good move from investors to consider taking a look at the development from last week.
On January 11, the integrated security solutions provider announced the preliminary unaudited results for the fiscal year that had ended on December 31, 2021. For the full year, the company noted that it had managed to bring in net revenues in the $33 million to $35 million range.
However, that represented a decline of 9.3% to 14.5% from the net revenues in the previous year. However, in 2022, the company expected the net revenues to be in the $55 million to $66 million range. That would represent growth in excess of 66%.
Key Quote
Terence Yap, Chairman of Guardforce AI, commented, “As we look towards the future, we are encouraged by the numerous possibilities and opportunities that exist within the global security industry. Throughout 2021, we have remained steadfast in our commitment to our clients, suppliers, staff and other stakeholders as we continue to weather COVID-related challenges. In 2022, we will continue our consolidation strategy to expand our geographical presence, technological capabilities and scale.”
Technical Data
GFAI stock is trading below the 50-Day and 200-Day Moving averages of $1.24 and $1.45 respectively. However, the stock is trading above the 200-Day moving average of $2.
