eOn Communications led all non-deal gainers on Thursday, as the Telecom Services Industry penny stock climbed 47%, or $0.67. Stock traders had little to go on though regarding the driver of the shares, so we thought we would help clear things up a bit for the pit.
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The wire was almost void of any significant news regarding EONC’s driving factors today, as most of the press just reported what they knew, which was that the stock was moving. Our survey of the newswire turned up one vague reference to a positive mention in an investment newsletter, which was not mentioned by name unfortunately. According to that brief, the newsletter cited technical factors that pointed to a breakout for EONC.
We put a call in to the company, and once we hear back we will update this report with any corporate commentary. Companies do not comment on stock trading, but if they are aware of some mention in a newsletter, they’ll let us know that. Readers here are welcome to fill in the blank by making comments to this article, which should prove useful to traders.
The stock was able to gain such lift on such little information thanks to a light float, which is listed at 2.12 million shares by Yahoo Finance (Nasdaq: YHOO). The market cap is micro, with a capitalization value of $6 million or so. Thus, the stock caught fire on its own momentum, as volume multiplied 142 times its average trading day.
We’re not going to analyze eOn Communications’ stock here, as it would take too much time, and when published, render the preceding information useless.
Look for updates to this article here and only on our blog (NOT syndicate sites):
This directly from EONC’s website:
"eOn Communications Corporation (NASDAQ: EONC) is a global provider of innovative communications solutions. Backed with over 20 years of telecommunications engineering expertise, our solutions enable our customers to easily leverage advanced technologies in order to communicate more effectively. Our offerings are built on reliable open architectures that enable easy adoption of emerging technologies, such as Voice over Internet Protocol (VoIP) and concepts, such as Service Oriented Architectures (SOA). Whether you are looking to leverage the advantages of enterprise IP telephony or advanced contact center technologies, eOn Communications delivers proven, IP-ready products that will improve your business performance."
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