Reuters
- Signal Advance rose to 11,708% after Elon Musk tweeted “use Signal” on Thursday.
- Investors seem to have confused Musk’s tweet about an encrypted messaging app with an unlisted public company.
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Signal Advance shares have risen up to 11,708% since Tesla CEO Elon Musk tweeted “use Signal” for its 42 million followers on Thursday.
Investors seemed to have confused Signal Advance with Signal, the encrypted messaging platform that Musk was encouraging his followers to use.
Shares in Signal Advance, a micro-cap technology stock that is traded over the counter, rose to $ 70.85 on Monday, from $ 0.60 just before Musk’s tweet on Thursday.
Signal Advance’s market capitalization rose from $ 6 million to nearly $ 300 million last week. The shares rose up to 885% on Monday.
This is not the first time that investors have been confused by two companies with similar names. In March, during the COVID-19 blockades, Zoom Technologies’ shares skyrocketed as investors mistook low-cost OTC stocks for Zoom Video Communications. The Securities and Exchange Commission has temporarily suspended trading in Zoom Technologies.
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