PanamaTimes

Friday, Mar 29, 2024

AMTD Digital: How a small Hong Kong firm's shares soared

AMTD Digital: How a small Hong Kong firm's shares soared

A little-known Hong Kong company has seen its stock market value soar in recent days, for no apparent reason.

AMTD Digital made its New York debut last month, priced at $7.80 a share.

This week, the firm's shares have been on a rollercoaster ride, closing on Wednesday at $1,100.

The meteoric rise in AMTD Digital's value has seen it likened by some commentators to "meme stocks", shares that gain popularity among retail investors through social media.

Trading in the company's shares has been particularly volatile this week, as its value rose above $300bn on Tuesday.

That meant that AMTD Digital briefly overtook technology giant Alibaba's New York stock market valuation.

In Wednesday's trade it plunged by more than 30%, but that still gave it a higher US market value than Disney.

On Monday, AMTD Digital thanked investors and said it "noted significant volatility" in trading.

"The company is also monitoring the market closely for any unusual trading activities or abnormalities," the statement said.

AMTD Digital offers services to develop online businesses' financial services technology. It had 50 members of staff as of the end of February this year, according to a stock market filing.

It makes money mainly by charging fees and commissions for its digital financial services business, which brought in just over $25m in revenue last year, according to a regulatory filing.

A space-themed corporate video on the company's website highlights the range of digital services that the company offers.




The company's website describes it "as the fusion reactor at the core of the AMTD SpiderNet ecosystem, AMTD Digital is a one-stop digital solutions platforms in Asia with businesses spanning multiple verticals, including digital financial services, digital media, content & marketing, SpiderNet ecosystem solutions, and digital investments."

Some commentators have likened the rise in AMTD Digital's value to so-called "meme stocks". Due to the nature of their popularity, trading in meme stocks is often extremely speculative and volatile.

US retailer GamesStop and cinema chain AMC were two of the most high profile meme stocks that saw their shares soar last year.

"This is a major head-scratcher and it shows that the era of meme stocks is not over with a $300bn market cap," Dan Ives, managing director of Wedbush Securities told the BBC.

"In a major risk off market in 2022 it's bewildering this meme dynamic can still happen but yet it has and Wall Street is watching this latest craze," he added.

AMTD Digital did not immediately respond to a request for comment from the BBC.

Newsletter

Related Articles

PanamaTimes
0:00
0:00
Close
Apple warns against drying iPhones with rice
In a recent High Court hearing, the U.S. argued that Julian Assange endangered lives by releasing classified information.
Global Law Enforcement Dismantles Lockbit Ransomware Operation
Russian opposition leader Alexey Navalny has died at the Arctic prison colony
The President of Argentina Javier Mile does not fly private, he flies commercial, with the citizens he represents. And they LOVE him for it.
Bitcoin Reaches $50,000 for First Time in Over Two Years
Belo Horizonte: Brazil's Rising Carnival Hotspot for 2024
In El Salvador, the 'Trump of Latin America' stuns the world with a speech slamming woke policing after winning a landslide election
Tucker’s interview with Putin is over 50M views on X within the first 5 hours.
Finnish Airline, Finnair, is voluntarily weighing passengers to better estimate flight cargo weight
President Nayib Bukele has proudly announced El Salvador's remarkable achievement of becoming the safest nation in the Western Hemisphere.
Former Chilean President Sebastian Piñera Dies in Helicopter Crash
This farmer seems to understand science a bit more than the event organizer, Klaus Schwab.
Facebook turns 20: From Mark Zuckerberg's dormitory to a $1trn company
The Coolest Dictator in the World" on the Path to Victory in El Salvador
Macron, France and fake news
Indian-Origin Man 'King' Arrested For Smuggling $16 Million Drugs Into US
Can someone teach Americans that not every person with slanted eyes is Chinese?
Europe's Farmers Feeding the People, Protesting Against Politicians Who Do Nothing for Their Country and Serve Only Themselves at Taxpayers' Expense
Paris Restaurant That Inspired 'Ratatouille' Loses $1.6 Million Worth Of Wine
Brazilian Police Investigate Bolsonaro's Son for Alleged Illegal Spying
Police in Brazil Raid Residence of Bolsonaro Associate Over Allegations of Illegal Spying
Border Dispute Escalates as Texas Governor Vows Increased Razor Wire
OpenAI Enhances ChatGPT-4 Model, Potentially Addressing AI "Laziness" Issue
The NSA finally acknowledges spying on Americans by acquiring sensitive data
Report Reveals Toxic Telegram Group Generating X-Rated AI-Generated Fake Images of Taylor Swift
US Border Patrol States 'No Plans' to Remove Razor Wire Installed in Texas
Bitcoin Experiences Approximately 20% Decline in Value
Klaus Schwab recently appointed himself as the Earth's "trustee of the future."
DeSantis Drops Out, Endorses Trump.
Nikki Haley said former President Trump is "just not at the same level" of mental fitness as he was while president in 2016.
Residents of a southern Mexican town set the government palace on fire in response to the police killing of a young man
Samsung Launches AI-Driven Galaxy S24, Ushering in New Smartphone Era
Judge Questions SEC's Regulatory Overreach in Coinbase Lawsuit
The Ecuador prosecutor who was investigating the television studio attack, has been assassinated.
Is artificial intelligence the solution to cyber security threats?
Vivek Ramaswamy suspends his US election campaign and endorses Trump.
Viral Satire: A Staged Satirical Clip Mistaken as Real Footage from the 2024 World Economic Forum in Davos
The AI Revolution in the Workforce: CEOs at Davos Predict Major Job Cuts in 2024
Ecuador Reports 178 Hostages in Prison Gang Standoff
The Startling Cuban Espionage Case That Has Rattled the US Government
Two Armed Men in Ecuador, Dressed as Batman and The Joker Storm the Streets.
Armed Gang Raids Ecuadorian TV Station Following State of Emergency Declaration
Anti-Democratic Canada: Journalist Arrested for Questioning Canadian Finance Minister on Support of Terrorist Group
Ecuador's 'Most-Wanted' Criminal Vanishes from Prison
Mexican Cartel Supplied Wi-Fi to Locals Under Threat of Fatal Consequences for Non-Compliance
Border Surge Leads to Over 11,000 Migrants Waiting in Northern Mexico
Outsider Candidates Triumph in Latin American Elections
As Argentina Goes to the Polls, Will the Proposal to Replace the Peso with the Dollar Secure Votes?
Fatal Shark Attack Claims Life of Boston Woman Paddleboarding Near Bahamas Resort, According to Police
×