CBAK Energy Technology Stock Soars On Significant Order Win: Retail Chatter Shows Optimism
CBAK Energy said the total value of the orders stood at approximately between RMB 200 million and RMB 250 million, or around $30 million to $35 million.
FollowShares of CBAK Energy Technology Inc (CBAT) soared over 21% on Friday after the firm announced that its subsidiary Nanjing CBAK New Energy Technology Co. has won significant orders from Chinese intelligent hardware brand firm Anker Innovations Technology Co.
The company said the total value of the orders stood at approximately between RMB 200 million and RMB 250 million, or around $30 million to $35 million.
CBAK Energy is a China-based firm engaged in the development, manufacturing, and sales of new energy high power lithium batteries and raw materials for use in manufacturing high power lithium batteries.
CEO Zhiguang Hu expressed enthusiasm for the firm's addition to Anker Innovations' qualified supplier list and for becoming their largest supplier of LFP battery cells.
“With the growing demand for our products, we are fully committed to meeting these needs, and our manufacturing facilities are operating at full capacity,” Hu said.
CBAK Energy added that Anker Innovations has consistently placed orders for battery cells with the firm and has found place among the company’s top five customers.
Both firms are also engaged in ongoing discussions about potential future collaborations, including but not limited to expanding capacity in overseas markets.
Meanwhile, retail chatter on Stocktwits indicated enthusiasm among investors.
Some users praised the company’s fundamentals.
Others focused on the stock’s technicals.
The company reported its third-quarter earnings in November that saw its net revenues fall 29.7% year-over-year (YoY) to $44.6 million. Net loss attributable to shareholders of CBAK Energy stood at $0.2 million, compared to net income of $6.3 million in the same period of 2023.
Following a dull quarter, investors will be keenly eyeing the firm’s fourth-quarter earnings to see if the company managed to improve its performance.
Meanwhile, shares of the firm have gained just over 5% since the beginning of the year.
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