The only reason to trade penny stocks is for the explosive moves they can make. If a penny stock doesn’t have triple-digit or 10-bagger potential, there’s no reason to really be owning them. We at Insider Financial understand this and we spend our time hunting for penny stocks that can make big moves. SPOM Stock is one such company that has taken the market by storm this year.
SPOM stock bounced back to life after coming under immense short-selling pressure, at the peak of the COVID-19 triggered market correction. SPO Global has been a big winner for investors so far in 2020 with a history of major price spikes.
Beginning the year at $0.0143, a series of big news drove the stock to a $0.68 high, representing a return of 4,655% in a space of fewer than two months. An acquisition that SPO Global closed earlier this year has helped put SPOM stock on the radar of many more investors.
As you can see from the chart above, SPOM stock has a history of making huge moves. By studying the chart, you can see the pattern. SPOM stock consolidates and builds a base and then another price spike comes. Judging from our experience with SPOM, another spike is coming.
First up, here’s a little background info for those not familiar with SPOM stock. SPO Global recently completed its merger with Gerpang Healthcare Group.
Its subsidiary, Shandong Gerpang Biotechnology Co., Ltd. is an innovative and technological private enterprise located in the pharmaceutical Valley Industrial Park of Jinan high tech Zone. Its main business scope includes biomedical R&D, medical information software development and sales, medical high-tech introduction, medical high-quality consumables production and sales, health care products, drugs, medical equipment consumables agency, and sales.
Qilu SPM International Stroke (Jinan) Hospital
In July, SPOM stock started cooperation on Qilu SPM International Stroke (Jinan) Hospital. This Hospital will be jointly established by Canada SOTA Biomed Investments Inc., SD Superior Medical Group & Jinan Zhongke Xilai Equipment Co., Ltd.
The hospital project will be renovated from the existing building in a bonded area with a construction area of 20,000 square meters and nearly 300 in-patient beds. It is expected to pilot run operations in June 2021.
This hospital will be the first international specialist hospital in Shandong Province that integrates treatment and rehabilitation by the world’s top stroke experts. The hospital introduces the most advanced interventional therapy technology in North America, in accordance with international rehabilitation nursing standards and operation management system, to create the world’s top stroke specialist hospital.
After the hospital is completed, it will receive 5,000 patients and rehabilitation treatment every year.
SPO Global has moved to diversify its holdings, having completed a merger with Gerpang Healthcare Group and inking a strategic partnership with QingDao franchises. Gerpang Joins SPO Global, with a vast portfolio of international and national patents that should be a key driver of the bottom line in the years to come. An annual turnover of over RMB 1 billion will also be a big addition to SPOM stock financials.
Gerpang and Fuyutang Franchises are to cooperate in medical terminal services, an area where SPO Global hopes to generate significant value going forward. That said, SPO Global is poised for an exciting year on the medical services front, an area that is in the spotlight amidst the COVID 19 pandemic.
Ever since completing the reverse merger, SPO Global has seen a huge jump in revenues. For the quarter ending March 31, SPOM stock posted $3.6 million in revenues. For the quarter ending June 30th, SPOM reported $4.7 million in revenues. In both quarters, the company reported positive operating income.
We are expecting financial results for the quarter ending September 30th to be spectacular. Once these numbers hit the tape, we expect a spike in SPOM stock.
SPOM Stock Bottom Line
Currently trading with a market cap of $25 million, SPOM stock has proven time and time again that it can turn into a runner overnight. The smart money has been accumulating and getting in. We are expecting another big move coming. We at Insider Financial would hate to see investors miss the next run.
As always, good luck to all (except the shorts)!
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Disclosure: We have no position in OTCMKTS:SPOM, or any of the securities mentioned. We wrote this article ourselves and it expresses our own opinions. We are not receiving compensation for it. We have no business relationship with any company whose stock is mentioned in this article. Insider Financial is not an investment advisor and does not provide investment advice. Always do your own research and make your own investment decisions. This article is not a solicitation or recommendation to buy, sell, or hold securities. This article is meant for informational and educational purposes only and does not provide investment advice.