Powerbridge Technologies Co., Ltd.(PBTS) stock prices were up by a massive 100% as of the market closing on June 29th, 2021, bringing the price per share up to USD$2.86 at the end of the trading day. After hours trading saw the stock surge by another 30.42%, bringing it up to USD$3.73.
Partnership with Huawei
April 14th, 2021 saw the company announce its Strategic Cooperation Agreement with Huawei Technologies to collaboratively promote and market their services to local Chinese ports and customs. The agreement will be the framework on which their vision use innovative technologies such as Blockchain, Cloud Computing, Artificial Intelligence, and Internet of Thing in the global trade industry application. The parties also plan to leverage their joint advantage to collaboratively market their product and services to their target demographics.
Details of the Agreement
The agreement will also aim to seek a deeper collaboration in the interest of facilitating the provision of better digital transformation solutions in the global trade industry, as well as expanding the companies’ marketing influence both domestically and internationally. As per the agreement, the companies will promote the construction of Smart Ports while upgrading and accelerating its construction. Furthermore, the partnership will seek to create innovative solutions for Smart Bonded Zone.
Expanded Scope of PBTS
With Huawei’s advantage in market resources and PBTS’ expertise in global trade digital solutions, the two are committed to jointly building a new global trade ecosystem in China by leveraging their pooled resources. The partnership is expected to result in the promotion of more digital upgrades, as well as innovative solutions for Chinese custom, ports, and special bonded zone.Concurrent with the announcement of the partnership, PBTS launched its innovative Smart Port and Smart Customs products.
Meme Stock Phenomenon
While hugely impactful, the collaboration does not merit the overnight doubling of PBTS’s equity value. With no recent news coverage or changes in fundamentals, it is likely that PBTS has found itself to be the latest target of the meme stock phenomenon that has been resurged in stock markets. Rife with volatility and inherent risk, meme stocks are pumped by retail investors that coordinate a short squeeze on underperforming stocks. These stocks have little to no reason to be invested in, therefore entailing massive volatility and uncertainty.
Future Outlook for PBTS
Armed with its fortuitous surge in stock price, PBTS is poised to capitalize on its partnership with Huawei. Current and potential investors are hopeful that management will continue to leverage the resources at their disposal to facilitate significant and sustained increases in shareholder value.
