A week ago, I covered Arcadia Biosciences, Inc. [NASDAQ: RKDA]. In the article titled, “Stocks to Watch: Arcadia Biosciences (RKDA) HB4 Approval Triggers Run and Short Squeeze”, I highlighted how the USDA approval of the company’s drought-resistant Soy Bean had triggered a short squeeze. I also touched on the fact that, it was facing some resistance at around $4.97, which was an intra-day high at the time. RKDA opened up at $6 the day I wrote up on it and hit a high of $9.15 within 4 days. This was a 52.5% potential gain. On Friday, the stock closed the day at $6.64. Though it dropped by 18.43% in that session, it still played out as I expected it to do, when I last covered it.
Looking at this stock today, it is trading in pre-market and has been in the green and now back in the red. News-wise, there isn’t any major news about this stock expected in the day. The company has already announced news about its tech progress and also released its Q2 results. Considering the rally it had prior to this news, it’s continued upside momentum is a good indicator of the stock’s underlying strength. Its key pointers, such as its partnerships, and the USDA approval, remain intact. When announcing its Q2 results, the company management touched on its strategic joint venture with Legacy Ventures, to grow and extract high-quality sun-grown Hemp among other major long-term partnerships and tech advancements.
In Friday’s session, the stock was trading in a range between $6.58 and $8.50. Volumes for the day stood at 4,253,793, and it closed the day with a market capitalization of $41.613 million. If the stock can gain some momentum in pre-market then the key level to watch will be Friday’s high of $8.50. A push above this level in the day could see it close the day in bullish territory. However, the stock is currently trading red in pre-market.
About Arcadia Biosciences
Arcadia Biosciences is an agricultural food ingredient company that has its headquarters at 202 Cousteau Place, Suite 105, Davis CA 95618 U.S.A. It develops health and nutrition ingredients across the world. The company has strategic alliances with multiple organizations, in its research and development endeavors.