Galaxy Next Generation Stock Surged 122% in a Day: Buy Why?
There were many stocks that made a strong move on Monday, and one of the more notable ones was perhaps the gains recorded by interactive learning solutions provider Galaxy Next Generation Inc (OTCMKTS:GAXY). The stock emerged as one of the volume leaders on Monday, and soon enough, it was flying as more and more investors piled on to it.
The stock rose by as much as 122% on Monday and displayed excellent momentum. Considering the gains made by the stock, it could be worthwhile for investors to take a closer look at it.
About the Company and Recent Developments
Galaxy Next has made impressive progress in recent months, and hence, the rally in its stock has not come as a complete surprise. The company is currently involved in marketing its product Cov-Shield, which is a plexiglass barrier that is meant for use in offices and in schools. While the product in question is no doubt impressive, it should also be noted that the company has also made rapid progress towards reducing its debts.
The company has been paying off its convertible notes steadily, and at the same time, Galaxy Next has also generated impressive revenues. In the nine-month period that ended on March 31 this year, the company generated revenues of as much as $1837354.
However, in addition to Cov-Shield, Galaxy Next has also been engaged in a wide range of other products. The company has produced a private label touch screen panel, and in addition to that, it has also come with a range of domestic and international branded communication as well as peripheral devices. Galaxy Next has more than 22 resellers in the United States, and that is the way its products reach the end-users. Although it is true that the K-12 education market is where Galaxy Next sells most of its products, it should be noted by investors that the company does not control the preferences of its resellers.
Earlier on in March, Galaxy Next had also announced that its classroom technology solutions had been used in schools across the United States. Considering the fact many schools are now closed due to the coronavirus pandemic, Galaxy Next has emerged as a go-to learning solutions provider for many schools. Back in June, the company also provided an update on the latest contracts that it had signed and also about the implementations.
The Chief Executive Officer of the company Gary LeCroy stated that due to the coronavirus related lockdowns, many schools have seen their operating expenses plummet. Consequently, those schools have been able to allocate more money towards technology. That is a state of affairs that has directly benefitted the company positively. Investors could do well to keep an eye on the stock.
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