Following modest gains of 4% on Friday, Hudson Capital Inc. (NASDAQ: HUSN) skyrocketed over 57% during today morning’s premarket session. In fact, the HUSN stock has been on a strong bullish ride since last Tuesday, climbing nearly 86% since then. The growth trajectory brings fresh hopes to investors, after seeing a steady plummet since early February. This phase saw a wipeout of almost 73% until last week’s reversal had started. The wild swings HUSN has undergone recently raises questions as to the persistence of the current growth trajectory. Market participants are evidently concerned as to whether or not this climb will sustain and drive further upwards momentum.
Successful Launch of Fr8PrivateFleet Triggers HUSN Flight
The China-based financial advisory company is one that has recently made the news, taking the market by storm. The news relates to Hudson’s fully owned subsidiary, Freight App, and its recently launched technological and logistics solution, Fr8PrivateFleet. The subsidiary’s CEO came forth with an announcement early this morning about the Fr8PrivateFleet securing a range of lucrative customer deals. The most significant breakthrough in this context relates to securing Mexico’s largest food producer within the range of these customers. The timespan in which such significant deals were closed communicates the credibility of the solution. Furthermore, it highlights the value-adding capability intrinsic to it, driving up HUSN prices as a result. Traders evidently anticipate further growth realization through Fr8PRivateFleet, following these deals.
Chinese Stock Flight and Implications on HUSN
Another trigger contributing to the HUSN growth spurt since last week relates to a broader environmental driver. Last week China’ State Council announced a formal commitment to support Chinese stocks through eased policies and widescale facilitation. Amidst the uncertainty about a possible Covid resurgence, and Russia-Ukraine tensions, the news had brought a breath of relief to investors in Chinese stocks. HUSN clearly has been caught up in this wave, taking form last week.
The HUSN growth wave sky-rocketing in today’s premarket relates to the success of its subsidiary’s technological solution, Fr8PrivateFleet. Deals with customers saw closing, including Mexico’s largest food producer. This highlights the extent of the growth potential of HUSN, along with its financial sustainability. Similarly, this growth spurt further factors in a recent announcement of support by China for Chinese-based stocks.