SOS Stock news and forecast: Shares up 20% as projections announced and first bitcoin received

• SOS shares soar as company says it received its first Bitcoin.
• SOS sees strong retail investor interest as Bitcoin remains bid!
• SOS says expects to mine at least 41 Bitcoins in Q1.

Update March 15: Shares in SOS surged by over 20% on Monday to $7.95 as SOS announced it had installed an extra 5,000 pieces of crypto mining rigs. SOS also said it was awarded its first Bitcoin on Feb 24 from successful mining activities. SOS said it expects to mine at least 41 bitcoins and 909 etherum in Q1 2021. 

Update Wednesday, March 3: Shares in SOS are trading sharply higher on Wednesday as a report from Scorpio VC is being circulated. The report appears to refute many of the arguments made by Hindenberg Research in an earlier report. Shares in SOS are currently trading at $7.85 on Monday, a gain of 15%. 

SOS is a Chinese company involved in providing cloud-based emergency services to businesses and individuals. SOS provides information security solutions for emergency roadside assistance, emergency healthcare, and emergency living assistance. SOS also has an involvement in the cryptocurrency mining business.

SOS Stock forecast

SOS shares have been strong in 2021 with a gain of 350% plus so far. The main reason for this has been the company getting involved in the cryptocurrency mining sector and blockchain. 

Feb 11 saw the bullish fever really take hold as SOS Ltd jumped nearly 60%. This was likely on the back of an announcement made by SOS Ltd on February 9 that it had received five thousand pieces of mining rigs for cryptocurrency. SOS Chairman Yandai Wang commented, "we have secured supply of crypto mining equipment that is expected to generate sufficient crypto hash power to allow us to promptly capture the rising cryptocurrency price.” 

On February 9 SOS shares opened at $3.80 and by February 17 they had hit a high of $17.88. 

On February 12 according to Benzinga SOS priced 22 million shares at $5 to raise $110 million. Also in February on the 18th Benzinga further reported the company announced a raise of $86 million in a secondary offering of 8.6 million shares at $10 a share. 

On February 24 SOS announced the second delivery of 5,000 pieces of crypto mining. During February the price of Bitcoin was appreciating sharply so this was timely news for investors. 

On Feb 26 Hindenburg Research issued a bearish note saying they were short the stock "We are short $SOS, which we believe to be an obvious China-based shell game reanimating the corpse of a former China based company that earlier imploded 90% from its highs".

Culper Research also issued a note on February 26 saying "We are short SOS Ltd. (NYSE:SOS), (“SOS”, “the Company”). SOS is a China-based reverse merger which has languished since its April 2017 IPO until its torrent of crypto-related hype has taken shares up over 600% at their peak. However, we find the Company’s claims regarding its supposed cryptocurrency mining purchases and acquisitions to be extremely problematic, if not fabricated entirely. Meanwhile, insiders – including Chairman Yandai, Wang Yilin, CFO Li Sing Leung, and Jonathan Zhang – as well as the Company’s largest shareholders are already selling their shareholdings as of filings made as early as February 2 and as recently as 3 days ago. We think the ship is already sinking and there’s nothing worth saving. We’re short SOS and believe shares are worthless".

Shares in SOS Ltd fell over 20% on Feb 26 to close at $4.77

SOS Ltd issued a response to the short-sellers yesterday March 1

"QINGDAO, China, March 1, 2021 -- SOS Limited (NYSE: SOS) (the "Company" or "SOS") was recently attacked by short sellers with distorted, misleading, and unsubstantiated claims regarding the Company. The Company also believes certain social media accounts of some Company board members may have been impersonated or disabled for short periods of time. The Company believes these attacks were purposefully designed to manipulate the price of the Company’s shares, with the aim of causing a stock price decline in order to economically benefit the short sellers, to the detriment of the Company’s public shareholders.

SOS stands behind the integrity of the Company and remains committed to maintaining transparency and the highest ethical principles. SOS reserves all rights that it may have against these short sellers and will defend itself vigorously against those behind these attacks and misleading allegations. The Company is preparing a more detailed response to the false innuendo and lies that are being spread about the Company. SOS looks forward to vigorously defending itself, addressing these matters and providing more information in the coming days".

Shares in SOS Ltd recovered sharply to close up over 40% at $6.69 on Monday, March 1.

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