Summary
• Sunrise New Energy Co., Ltd (EPOW) fell 5.3% to $0.8801 in after-hours trading amidst low volume.
• The company signed a supply agreement for 3,000 tons of anode materials worth $11 million, effective in 2026.
• EPOW’s technical metrics indicate a bearish trend, but a year-to-date performance suggests a mixed long-term outlook.
Sunrise New Energy Co., Ltd (NASDAQ: EPOW) experienced a decline of 5.3%, bringing its after-hours price to $0.8801 compared to the last close of $0.9289. The move occurred without a clear catalyst, as trading volume during this session was significantly lower than the recent averages.
Recent Developments in Supply Agreements
Despite the stock’s dip, Sunrise recently announced the signing of a significant supply agreement. On December 15, the company revealed that its subsidiary, Sunrise (Guizhou) New Energy Materials Co., Ltd., inked a contract to supply approximately 3,000 tons of anode materials to Xiaolu Lithium, with an estimated total value of $11 million. This contract is expected to provide additional revenue growth opportunities starting in 2026, particularly for applications in unmanned aerial vehicles and energy storage systems.
This announcement is part of a broader strategy where Sunrise has been actively securing contracts for their anode materials. Just a week prior, on December 10, they finalized a deal for the supply of 246 tons of graphite anode materials, extending their market presence into telecom sectors.
[chart type=’press-releases’ value=’EPOW’]
Technical Overview and Market Sentiment
Looking at the stock’s technical metrics, EPOW shows a Relative Strength Index (RSI) of 36.2, indicating it might be approaching oversold territory. The stock’s 20-day simple moving average (SMA) reflects a deviation of -14.5%, suggesting a bearish trend over the short term. With a year-to-date performance of 7.6% and a 52-week range touching a low of $0.26 and a high of $0.88, the stock presents a mixed but somewhat optimistic long-term outlook.
Current trading activity revealed an after-hours volume of 5,170 shares, markedly lower than the 10-day average volume of 225,312 and the three-month average of 1,772,565, indicating a lack of urgency in trading interest following the recent announcements.
[chart type=’price’ value=’EPOW’]
Closing Remarks
The recent decline in EPOW shares occurs amid routine trading conditions as investors reflect on the company’s supply agreements and their potential impact. With a stable revenue projection associated with new contracts, traders will likely monitor how market sentiment evolves in the upcoming sessions.