2 China Stocks Make Massive Moves

LKCO stock is lower on M&A news, while MDJH shares are popping on a partnership

Aug 28, 2019 at 2:13 PM
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The U.S. stock market has flipped higher, led by a surge in energy stocks. Among individual stocks making volatile moves are Chinese names Luokung Technology Corp (NASDAQ:LKCO) and MDJM Ltd (NASDAQ:MDJH), as well as alternative energy issue Canadian Solar Inc. (NASDAQ:CSIQ). Here's a quick look at what's moving the shares of LKCO, MDJH, and CSIQ.

LKCO Stock Plummets on M&A News

Luokung Technology stock is among the worst of the Nasdaq today, down 13.1% at $6.25, after the wireless software concern announced a deal to buy eMapgo Technologies for about $119 million, pending the firm's ability to raise the necessary funds. LKCO shares are pacing for their worst day since June, and have given up nearly 38% in August, pressured beneath their 10-day moving average.

The equity began trading on the Nasdaq in early January, and peaked at $98.39 shortly after its debut. The gains didn't last long, however, with LKCO bottoming at $4.95 in early June, and subsequently bumping up against resistance in the $10 area.

MDJH Stock Surges on Real Estate Contract

MDJM Ltd said it entered into a real estate contract with Taida Xincheng Real Estate Co, allowing the firm to be the primary real estate services agency for a project in Chengdu. As a result, MDJH is among the best stocks on the Nasdaq today, up 57% at $3.91, and earlier peaked at $6.17 -- more than double yesterday's close. What's more, it's pacing to be MDJH's best session ever.

The Chinese equity debuted on the Nasdaq at $4.75 in early January -- less than its initial public offering (IPO) price of $5 per share -- and peaked at $7.89 on Jan. 10. MDJH fell to a record low of $2 by mid-June, but today is pacing for its highest close in almost six months.

CSIQ Bounces on Cash Injection

Canadian Solar shares are up 2.2% at $23.05, after the company secured $120 million in financing for solar power projects in Brazil. CSIQ stock has been in a channel of higher lows since mid-2018, gaining more than 68% over the past year.

A short squeeze could help CSIQ on its next leg higher, too. Short interest represents 7.2% of the equity's total available float, and would take nearly a week to buy back, at the stock's average daily trading volume.

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