5G Networks Limited [ASX: 5GN] provides internet broadband and cloud infrastructure services to corporate clients.
The stock has moved from 45 cents on 2 January to hit 90 cents yesterday. That’s a 100% return over the first quarter. Clearly, the market likes what is happening here.
5G Networks listed on the ASX in 2017 and has a market cap of around $46 million.
What’s the news behind this price move?
On 2 April, 5GN announced it has acquired a business called Melbourne Data Centre. 5GN’s management say this will allow the company to expand its infrastructure footprint and add revenue to its existing business.
Earlier in February, 5G Networks said it expected to increase revenue and earnings growth over the six months to 30 June.
5GN is operating in a very important industry for modern businesses and appears to have a bright outlook. It’s certainly a company to keep on your watchlist in order to keep track of further developments. It may be prudent to see if the stock can sustain the recent price rise in the short term.
This article is not an endorsement to buy or sell this stock. It’s an update only.