BEIJING - Luokung Technology Corp. (NASDAQ:LKCO), a spatial-temporal intelligent big data services company, has been granted an additional 180-day compliance extension by Nasdaq to meet the minimum bid price requirement, the company announced on Wednesday. The extension gives Luokung until October 28, 2024, to maintain a minimum bid price of $1.00 per share for at least 10 consecutive trading days.
The Nasdaq notification does not immediately affect Luokung's listing status, and the company's shares will continue to be traded on the exchange. Luokung was initially notified of its non-compliance with Nasdaq's minimum bid price rule on November 3, 2023, and was initially given until May 1, 2024, to address the issue.
The current extension is specific to the bid price deficiency, and the company could still face delisting for non-compliance with other listing requirements during this period. If Luokung fails to meet the minimum bid requirement within the new timeframe, Nasdaq will issue a delisting notice, although the company can appeal to a Nasdaq Hearings Panel and remain listed during the appeal process.
Luokung specializes in location-based services (LBS) and high-definition maps (HD Maps) in China, serving sectors such as smart transportation, natural resource management, and smart industry applications. The company's proprietary technology supports the creation of city-level and industry-level holographic spatial-temporal digital twin systems.
InvestingPro Insights
Amid Luokung Technology Corp.'s (NASDAQ:LKCO) efforts to comply with Nasdaq's listing requirements, the spatial-temporal big data services company is navigating a complex financial landscape. As investors monitor the company's progress towards maintaining its listing status, several metrics and insights from InvestingPro provide a deeper understanding of Luokung's current market position.
InvestingPro's real-time data indicates that Luokung has a market capitalization of approximately 9.28 million USD, which reflects the company's valuation in the eyes of investors. Despite the challenges faced, analysts following Luokung anticipate sales growth in the current year, which could be a positive signal for the company's future revenue streams. This aligns with one of the InvestingPro Tips that highlight the potential for sales growth. Moreover, Luokung is trading at a low Price / Book multiple of 0.1 as of the last twelve months ending Q2 2023, suggesting that the stock may be undervalued relative to the company's book value.
Another key metric to consider is the company's performance over the short term. Luokung has experienced a significant return over the last week, with a 10.39% price total return, which may interest traders looking for recent upward movements in stock price. However, it's important to note that the stock has seen a considerable decline over the past year, with a -63.7% price total return, indicating a period of volatility and downward pressure on the stock price.
Investors seeking comprehensive analysis and additional insights can explore more InvestingPro Tips, including the company's operational and financial metrics, by visiting the dedicated Luokung page on InvestingPro. Plus, for those considering a subscription, use coupon code PRONEWS24 to get an additional 10% off a yearly or biyearly Pro and Pro+ subscription. With 14 additional InvestingPro Tips available, investors can gain a more nuanced view of Luokung's investment profile.
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