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It’s a mixed day in the market with the S&P 500 trying to push higher, but tech weighing it down. However, it’s not a mixed day for Elys Game Technology (NASDAQ:ELYS), with shares of ELYS stock up more than 100% so far on the day.
The stock began the holiday-shortened week with a bang, as shares more than doubled at the open. ELYS stock opened higher by 102% and climbed as high as 186% at one point in the day.
Keep in mind, this action follows Friday’s action, when shares climbed 47%. At one point in that session, ELYS stock was up 135%. Prior to that, it made new 52-week lows last week.
All of this comes as the company was granted permission to open a sportsbook in Washington, D.C. Described as “an interactive gaming and sports betting technology company,” investors are hopeful that Elys will have a new revenue stream.
Currently, analysts expect the business to generate about $44 million in sales this year. That’s alongside estimates for $48.5 million in revenue next year. However, both years are expected to generate a loss.
Will This Move the Needle for ELYS Stock?
Executive chairman Michele Ciavarella had this to say:
“We are delighted to have been granted the first joint venture license with our partners at Cloakbook to commence sports wagering services within the Cloakroom Gentlemen’s Club and the Over Under rooftop lounge, our second small business sportsbook installation in Washington.”
The company expects a “soft launch” to take place and will begin taking first wagers on Dec. 29. That works out well ahead of the NFL playoffs, which begin next month. It also comes just ahead of a number of prime time college football bowl games, as well as the College Football Playoffs.
If you’re just hearing about all of this for the first time, don’t worry. ELYS stock is an under-followed penny stock, which recently traded below 12 cents. Further, the company commands a market cap of just $11 million.
That makes it fairly easy for it to be bid higher, while its penny stock status only helps in that regard. Despite the stock doubling today and up 150% from last week’s low, shares are still down about 88% this year.
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On the date of publication, Bret Kenwell did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.