HKD Stock also known as AMTD Digital is a company which was found in Singapore a few years back.
$HKD “designs and develops a digital platform to provide financial, media, content and marketing, and investment solutions. It offers digital banking and insurance technology platforms for consumers and small and medium-sized enterprises” (Source seeking alpha)
AMTD Digital has seen a massive increase in revenue in since the IPO, but what was the real reason that $HKD explode in price during the most recent run up!?
AMTD Digital is known as a low float stock/company.
What is a low float company?
Companies with a low float frequently have a large portion of their equity held by controlling investors such as directors and employees, which leaves only a tiny percentage of the stock available for public trading (Source Sofi)
Low float stocks have a good chance of short squeezing.
Low float short squeeze
Low float stocks can be some of the most volatile stocks in the market. If you mix in a short squeeze, the potential short-term gains in a low float stock can be extreme. A stock’s float is the number of shares that trade freely on the public market. This makes this type of stock attractive for investors looking to turn a small amount of money into a crazy amount in a short amount of time.
Will $HKD Squeeze again?
HKD is a textbook pump and dump as the stock rockets to thousands of dollars per share and now is sitting far far below the recent highs. With a low float stock like $HKD it does always have a good chance of catching a bid once again though. It does not take all that much attention for a name like this to hit the top movers list along with others but for now be careful in investing in a stock like AMTD $HKD because of its volatile nature and because of the brokers blocking or halting the trade making traders trapped.