Signing Day Sports (SGN) stock surged on Friday after the athlete recruiting technology company announced a planned merger with Bitcoin (BTC) mining technology and digital infrastructure company BlockchAIn, One Blockchain LLC.
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The combination of Signing Day Sports and One Blockchain requires approval from SGN shareholders. On top of that, it needs permission from the NYSE American to create a ticker for One Blockchain. A combination would be beneficial for both companies, bringing One Blockchain to the public market with its 2024 revenue of $26.8 million and net income of $5.7 million.
Signing Day Sports stock was up 144.72% in pre-market trading on Friday, following a 9.82% rally yesterday. However, the shares have fallen 53.23% year to date and 89.59% over the past 12 months. Today’s rally came alongside heavy trading, with some 68 million shares traded, compared to a three-month daily average of roughly 8.25 million units.
Is Signing Day Sports Stock a Buy, Sell, or Hold?
Wall Street’s coverage of Signing Day Sports is limited, but TipRanks’ AI analyst Spark has the stock covered. Spark rates SGN a Neutral (52) with a $1 price target, suggesting a possible 18.7% downside for the shares. It cites “significant financial challenges, including negative profitability and high leverage” as reasons for this stance.
