Gorilla Technology Stock Surges After Firm Boosts Buyback To $10M: Retail Turns Bullish

Shares of Gorilla Technology Group (GRRR) surged more than 7% in mid-day trade on Monday after the company boosted its share buyback program from $6 million to $10 million following a board meeting over the weekend. The firm also raised concerns about potential manipulation of its stock price.

Gorilla Technology maintained that its current share price fails to reflect its intrinsic value and long-term potential and is undervalued compared to other companies in the market.

The firm had previously said that its board members and management team intend to “purchase shares in the company so long as the disconnect between its share price and our business performance remains.”

The company has utilized $3.8 million of its previously announced allocation to buy back shares in privately negotiated transactions. 

“While we are continuing discussions with shareholders on private share repurchases, it is our intent to expand the buyback program to open-market purchases following our 2024 fiscal earnings release,” the company said.

Meanwhile, Gorilla Tech highlighted that despite repeated attempts to engage with the SEC, it hasn’t observed meaningful progress in the regulator’s investigation. 

“We will continue to present the SEC with evidence that we believe indicates that our stock is being manipulated and will continue to press regulators to investigate actions that are harming our shareholders,” the firm asserted.

Following the development, Gorilla Technology emerged as one of the most active stocks on Stocktwits.

Retail sentiment was in the ‘bullish’ territory (61/100), flipping from ‘bearish’ (40/100) a day ago.

Users expressed optimism about the stock, with one saying that there was adequate volume when selling pressure intensified during the day.

Another user explained his bull thesis for the stock, saying that the expanded buyback program, combined with other metrics like valuation, make for an attractive scenario.

Gorilla Technology’s share price has gained over 34% in the last month, over 308% in the last six months, and more than 130% over the past year.

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