On February 24, CYREN Ltd. (CYRN) added a huge 118.89% during the regular trading session. The stock continued its bullishness into the after-hours session as well. Being a meme stock the bullishness can be attributed to two possible reasons including a recent SEC filing and Twitter discussions.
The stock fluctuated between a high of $6.6577 and a low of $1.9800 during the regular session. At a super active volume of 26.38 million shares, CYRN stock closed the session at a value of $4.7500 per share. Continuing the bullishness into the after-hours, the stock added a further 11.37%. Hence, CYRN was trading at a value of $5.29 per share at an after-hours volume of 1.48 million shares in the after-hours on Thursday.
The cloud-based security solutions provider, CYREN Ltd. is based in Israel. Currently, the company has a market capitalization of $9.84 million with its 4.53 million shares outstanding.
What is Happening with CYRN?
On February 23, the company submitted a filing with the U.S. Securities Exchange Commission. While the filing might have a role in the recent movement, it’s more likely that the stock is moving up for other reasons as it is a meme stock.
With the escalating conflict between Russia and Ukraine, negative market momentum is causing most stocks to trade in the red. But on the other hand, cybersecurity firms have been picking up the momentum lately. The meme stock CYRN was actively discussed on the social media platform Twitter on Thursday. Many social media influencers and day traders along with market scanners were mentioning the stock throughout the day. While at the end of the regular session the stock gained 118.89%, it had increased by as much as 200% mid-session. The hike in the stock led its five-day gain to a huge 83.40% while it has lost 18.72% year to date.
While it is uncertain if the bullishness will continue further, the stock is ripe for profit booking and due to corrections.
At-the-Market Private Placement
On February 14, the company announced the closing of its private placement which was announced on February 10, 2022. CYRN had issued 3,129,075 ordinary shares and warrants in a securities purchase agreement with certain institutional and accredited investors. Moreover, the purchase price of the offered shares was $3.835 per share. The placement resulted in proceeds of $12 million approx.
CYRN’s Q3 2021 Summary
In Q3 2021, the company had a non-GAAP net loss of $4.3 million on revenue of $7.5 million. This compares to a net loss of $2.9 million on revenue of $9.1 million in the year-ago quarter.
