Anyone who is currently looking into the stock that may have made significant gains on Tuesday is unlikely to miss the rally that was seen in the Bantec Inc (OTCMKTS:BANT) stock. It was in the middle of a strong rally amidst heavy interest and ended up with gains of as much as 67%. Considering the sheer magnitude of the single-day gain, it is quite likely that the stock is going to come on to the radars of investors today as well. The company saw its stock soar yesterday after it announced that through the months of April and May this year, its subsidiary unit Howco had managed to bag as many as 510 SLA contracts.
On Tuesday, BANT stock moved up 67% to $0.0005 with 390.57 million shares, compared to its average volume of 53.50 million shares. The stock moved within a range of $0.0003 – 0.0006 after opening trade at $0.0003.
Bantec’s Howco Awarded 510 Defense Logistics Agency (DLA) Contracts in April and May
The Chief Executive Officer and chairman of the company Michael Bannon spoke about the development too. He noted that a solitary contract for an exhaust pipe works out to revenues of as much as $250,000 for the company. The contracts that the company got in April and May also reflected continued growth and also surpassed the internal projections. He added that it was an indicator of the fact that the third and fourth quarters could be considered strong for Bantec.
Hence, it is quite easy to see why investors were so excited with the news and then piled on to the stock to send it soaring. However, it is also important to note that the subsidiary unit is also working on many other projects and had made a major announcement with regards to one of its projects earlier on in the year in May.
The company announced at the time that it was looking to sell its Bantec Hunter Max and Bantec Hunter attack drones directly to the United States Government. It had been noted at the time that all sales were going to be made through Howco. Bannon had spoken at length about the plans that had been put in place by Bantec. He noted at the time that the company was looking into the specific licenses and permits which were necessary for Howco to work in the highly regulated market.
Michael Bannon, Bantec’s Chairman, and CEO stated: ” Contract awards increased significantly during April and May. One long-term contract for exhaust pipes totals a quarter of a million dollars. The continued upward trend in sales exceeds our projections and bodes well for increased revenue in Q3 and Q4.”
BANT stock is trading below the 20-Day and 50-Day Moving averages of $0.0004 and $0.0006 respectively. Moreover, the stock is trading below the 200-Day moving average of $0.0015.