TIMES.KY

Cayman Islands, Caribbeanand International News
Monday, Mar 20, 2023

AMTD Digital: How a small Hong Kong firm's shares soared

AMTD Digital: How a small Hong Kong firm's shares soared

A little-known Hong Kong company has seen its stock market value soar in recent days, for no apparent reason.

AMTD Digital made its New York debut last month, priced at $7.80 a share.

This week, the firm's shares have been on a rollercoaster ride, closing on Wednesday at $1,100.

The meteoric rise in AMTD Digital's value has seen it likened by some commentators to "meme stocks", shares that gain popularity among retail investors through social media.

Trading in the company's shares has been particularly volatile this week, as its value rose above $300bn on Tuesday.

That meant that AMTD Digital briefly overtook technology giant Alibaba's New York stock market valuation.

In Wednesday's trade it plunged by more than 30%, but that still gave it a higher US market value than Disney.

On Monday, AMTD Digital thanked investors and said it "noted significant volatility" in trading.

"The company is also monitoring the market closely for any unusual trading activities or abnormalities," the statement said.

AMTD Digital offers services to develop online businesses' financial services technology. It had 50 members of staff as of the end of February this year, according to a stock market filing.

It makes money mainly by charging fees and commissions for its digital financial services business, which brought in just over $25m in revenue last year, according to a regulatory filing.

A space-themed corporate video on the company's website highlights the range of digital services that the company offers.




The company's website describes it "as the fusion reactor at the core of the AMTD SpiderNet ecosystem, AMTD Digital is a one-stop digital solutions platforms in Asia with businesses spanning multiple verticals, including digital financial services, digital media, content & marketing, SpiderNet ecosystem solutions, and digital investments."

Some commentators have likened the rise in AMTD Digital's value to so-called "meme stocks". Due to the nature of their popularity, trading in meme stocks is often extremely speculative and volatile.

US retailer GamesStop and cinema chain AMC were two of the most high profile meme stocks that saw their shares soar last year.

"This is a major head-scratcher and it shows that the era of meme stocks is not over with a $300bn market cap," Dan Ives, managing director of Wedbush Securities told the BBC.

"In a major risk off market in 2022 it's bewildering this meme dynamic can still happen but yet it has and Wall Street is watching this latest craze," he added.

AMTD Digital did not immediately respond to a request for comment from the BBC.

Newsletter

Related Articles

TIMES.KY
Close
0:00
0:00
Home Secretary Suella Braverman tours potential migrant housing in Rwanda as asylum deal remains mired in legal challenges
Paris Rioting vs Macron anti democratic law
'Sexual Fantasy' Assignment At US School Outrages Parents
Credit Suisse to borrow $54 billion from Swiss central bank
Russian Hackers Preparing New Cyber Assault Against Ukraine
Jeremy Hunt insists his Budget will get young parents and over-50s back into work
If this was in Tehran, Moscow or Hong Kong
TRUMP: "Standing before you today, I am the only candidate who can make this promise: I will prevent World War III."
Mexican President Claims Mexico is Safer than the U.S.
A brief banking situation report
Lady bites police officer and gets instantly reaction
We are witnessing widespread bank fails and the president just gave a 5 min speech then walked off camera.
Donald Trump's asked by Tucker Carlson question on if the U.S. should support regime change in Russia?.
Silicon Valley Bank exec was Lehman Brothers CFO
In a potential last-ditch effort, HSBC is considering a rescue deal to save Silicon Valley Bank UK from insolvency
BBC Director General, Tim Davie, has apologized, but not resigned, yet, following the disruption of sports programmes over the weekend
Elon Musk Is Planning To Build A Town In Texas For His Employees
The Silicon Valley Bank’s collapse effect is spreading around the world, affecting startup companies across the globe
City officials in Berlin announced on Thursday that all swimmers at public pools will soon be allowed to swim topless
Fitness scam
Market Chaos as USDC Loses Peg to USD after $3.3 Billion Reserves Held by Silicon Valley Bank Closed.
Senator Tom Cotton: If the Mexican Government Won’t Stop Cartels from Killing Americans, Then U.S. Government Should
Banking regulators close SVB, the largest bank failure since the financial crisis
The unelected UK Prime Minister Rishi Sunak, an immigrant himself, defends new controversial crackdown on illegal migration
Man’s penis amputated by mistake after he’s wrongly diagnosed with a tumour
In a major snub to Downing Street's Silicon Valley dreams, UK chip giant Arm has dealt a serious blow to the government's economic strategy by opting for a US listing
It's the question on everyone's lips: could a four-day workweek be the future of employment?
Is Gold the Ultimate Safe Haven Asset in Times of Uncertainty?
Spain officials quit over trains that were too wide for tunnels...
Don Lemon, a CNN anchor, has provided a list of five areas that he believes the black community needs to address.
Hello. Here is our news digest from London.
Corruption and Influence Buying Uncovered in International Mainstream Media: Investigation Reveals Growing Disinformation Mercenaries
Givenchy Store in New York Robbed of $50,000 in Merchandise
European MP Clare Daly condemns US attack on Nord Stream
Former U.S. President Carter will spend his remaining time at home and receive hospice care instead of medication
Tucker Carlson called Trump a 'demonic force'
US Joins 15 NATO Nations in Largest Space Data Collection Initiative in History
White House: No ETs over the United States
U.S. Jet Shoots Down Flying Object Over Canada
Being a Tiktoker might be expensive…
SpaceX, the private space exploration company, made a significant breakthrough in their mission to reach space.
China's top tech firms, including Alibaba, Tencent, Baidu, NetEase, and JD.com, are developing their own versions of Open AI's AI-powered chatbot, ChatGPT
This shocking picture, showing how terrible is the results of the earthquake in Turkey
President Joe Biden delivered the 2023 State of the Union Address , in order to help Americans that missed the 2022 speech, do not have internet, and suffer from short memory.
The desk of King Carlos Alberto of Sardinia has many secret compartments
Today's news from Britain - 9th February 2023
The five largest oil companies in the West generated combined profits of nearly $200 billion in 2022, which has led to increased calls for governments to impose tougher windfall taxes
2 earthquakes in Turkey killed over 2,300 people
Powerful Earthquake Strikes Turkey and Syria, Killing More Than 1,300 People.
Turkish photographer Ugur Gallenkus portrays two different worlds within a single image. Brilliant work
×