A look at the premarket trading action can often provide a glimpse into the immediate future of the market and hence, moves during that period could be well worth looking into.
Trading Data
On Wednesday, PHUN stock moved up 4.73% to $2.88 with 7.12 million shares, compared to its average volume of 15.92 million shares. The stock moved within a range of $2.7500 – 2.9550 after opening trade at $2.79.
Earnings Recap
The blockchain related company Phunware (NASDAQ:PHUN) was seen its stock go on a downward spiral in the premarket trading period and recorded a decline of 11%. It is easy to see why the stock has found itself in such a downward spiral. On Wednesday, the company was in the news after it announced its earnings for the full year but actually missed it. The operating expenses clocked by Phunware for the year outpaced the gross profits to a substantial degree.
The company managed to bring in gross profits to the tune of as much as $3.61 million and that was considerably lower than the $6.6 million in gross profits back in 2020. On the other hand, the expenses for 2021 came in at $20.45 million and that was lower than the $24.1 million in expenses back in 2020.
The operating losses in 2021 stood at $16.84 million but that actually demonstrated a minuscule improvement on the operating losses of as much as $17.49 million back in 2020.
Key Quote
“Going forward, we expect to accelerate this expansion via organic and inorganic initiatives on an international scale, including top-line revenue growth of 250% or more year-over-year, all while strategically investing for efficiency and diversification,” said Alan S. Knitowski, president, CEO and co-founder.
Technical Data
PHUN stock is trading above the 20-Day and 50-Day Moving averages of $2.69 and $2.77 respectively. Moreover, the stock is trading above the 200-Day moving average of $2.21.
