What's Going On With WiSA Technologies Shares Thursday?
Portfolio Pulse from Nabaparna Bhattacharya
WiSA Technologies, Inc. (NASDAQ:WISA) shares dropped significantly after announcing a licensing agreement with a top-three consumer electronics leader for its WiSA E software, enabling immersive audio in devices without extra hardware. This agreement, expected to generate revenue through royalties and consumer activations, marks the company's fourth major licensing deal. Additionally, WiSA's stock underwent a 1-for-150 reverse split, trading lower by 33.4% at $6.17.
April 18, 2024 | 3:43 pm
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WiSA Technologies announced a significant licensing agreement for its WiSA E software with a leading consumer electronics brand, alongside a 1-for-150 reverse stock split, causing shares to drop 33.4% to $6.17.
The licensing agreement with a top consumer electronics leader for WiSA E software is a positive development, indicating potential future revenue streams from royalties and consumer activations. However, the immediate market reaction was negative, likely due to the 1-for-150 reverse stock split, a move often perceived as a sign of trouble by investors. This combination of factors led to a significant drop in share price.
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IMPORTANCE 90
RELEVANCE 100