Why Datasea Shares Are Falling Today
Portfolio Pulse from Nabaparna Bhattacharya
Datasea Inc. (NASDAQ:DTSS) shares fell by 6% in premarket trading after a 9% gain the previous day. The drop comes despite the company's recent announcement of a $30 million deal with Hangzhou Chongda Technology Co. to increase sales of 5G multimodal communication services in China. Datasea has seen a 300% increase in share value over the last month and reported $18.3 million in revenue from related services in the first two quarters of 2024.
February 16, 2024 | 12:18 pm
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Datasea Inc. shares fell by 6% in premarket trading despite announcing a significant $30 million deal to boost 5G service sales in China, following a 300% increase in share value over the last month.
The short-term price drop of Datasea Inc. shares, despite the announcement of a significant partnership and recent revenue growth, suggests a potential market correction after the recent sharp increase in share value. The deal's future potential may not have been fully factored into the current price, or investors may be taking profits after the recent surge.
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