STOCKS TELEGRAPH

Tag: engineering

  • Ayro, Inc. (AYRO) stock Continues Uptrend Following News of Agreement with KICC

    Ayro, Inc. (AYRO) stock prices were up by a marginal 2.87% shortly after market trading commenced on July 1st, 2021, bringing the price per share up to USD$5.02 early on in the trading day.

    Manufacturing Agreement

    July 1st, 2021 saw the company announce the first Club Car Current vehicles being produced as per a contract manufacturing agreement with the Karma Innovation and Customization Center (KICC). The light-duty electric vehicles address the gap in the market between full-sized trucks and smart utility carts for low-speed logistics and cargo services in campus and urban environments. The formation of the partnership that had arranged for the production of EV vehicles took place in September of 2020.

    Combined Resources

    In the interest of Karma’s ongoing business to business (B2B) initiatives, the relationship with AYRO will utilize their combined OEM expertise and capabilities. The collaborative effort will seek to facilitate that provision of manufacturing, engineering, design, and other services to customers in the mobility space. AYRO’s end-user, market intelligence, and engineering expertise will be complemented by KICC’s manufacturing capabilities and development experience in order to deliver light-duty trucks and electric delivery vehicles to businesses across the U.S.

    Club Car Current

    The Club Car Current is designed for several bed options and accessories, including, but not limited to, van box, pickup truck with sides, flatbed configurations, in order to ensure fleet versatility. It is an ideal solution for the local market, as evidenced by its certification under the State’s California Air Resource Board (CARB) Certification, with its global warming and air quality of zero emission vehicles scoring “cleanest”.

    Working Together

    With AYRO having met exceptionally strong demand from fleet customers, Karma is helping the company deliver the initial run of vehicles from their Moreno facility. This is despite the supply chain challenges that have been adversely affecting production for the rest of the industry. Together, they enable AYRO to deliver on their brand promise to provide practical solutions that address the needs of various business types by providing purpose-built EVs that are fully customizable, affordable, and immediately available.

    Future Outlook for AYRO

    Armed with its recent collaboration, AYRO is poised to capitalize on potential opportunities to consolidate and expand its market footprint in the EV sector. Investors are hopeful that the partnership will facilitate a fruitful leveraging of resources to ensure a continued trajectory of success.

  • Staffing 360 Solutions, Inc. (STAF) Stock Skyrockets Following Announcement of Reverse Stock Split

    Staffing 360 Solutions, Inc. (STAF) stock prices were down by 7.43% as of the market closing on June 30th, 2021, bringing the price per share down to USD$0.5744 at the end of the trading day. Subsequent pre-market fluctuations saw the stock skyrocket by a staggering 552.86%, bringing it up to USD$3.75.

    Reverse Stock Split

    June 30th, 2021 saw the company announce its intent to implement a reverse stock split of its common stock at a ratio of 6 pre-split shares being consolidated into 1 post-split share. The stock split went into effect at 5:00 pm EDT on June 30th, 2021, with the company’s shares continuing to be traded on the NASDAQ Capital Market under the STAF ticker symbol. The shares will begin trading on a split-adjusted basis when the market opens on July 1st, 2021.

    Details of the Reverse Split

    The company’s Board of Directors were authorized to effect a reverse stock split on June 21st, 2021 at a special meeting of stockholders, with the amendment to the Certificate of Incorporation allowing for a ratio of at least 1-for-2 and not more than 1-for-20. While the stock split will not affect the percentage interest of any stockholder in the company’s equity, there will be cases where stockholders will own a fractional share. In such cases, the share will be rounded up to the nearest whole number of shares. The number of common stock outstanding will go from 39,166,528 to 6,527,755.

    Loan Forgiveness

    The company recent reported having been granted full forgiveness by the Small Business Administration for the USD$10 million Paycheck Protection Program loan. The loan was given to Monroe Staffing Services, LLC, an indirect wholly owned subsidiary of STAF. Since, the company has applied for further forgiveness of USD$9.4 million in PPP loans, with management confident in their being written off. Cumulatively, STAF has achieved a 55% reduction in its debt over the past year.

    Q2 2021 Financial Reports

    STAF forecasts financial reports for Q2 2021, ended July 3rd, 2021, to indicate roughly 20% year-over-year growth in revenue up to USD$52 million. Gross profits for the quarter are also expected to be up by 20%, with reports of USD$457,000 in operating profit as compared to USD$1.5 million operating loss in Q2 2020.

    Future Outlook for STAF

    With the drastic change seen by its stock price as a result of the reverse stock split, STAF is poised to capitalize on its continued listing on the Nasdaq Capital Market. Investors are hopeful that management will continue to leverage the resources at their disposal to facilitate significant and sustained increases in shareholder value.