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Shares of INNO Holdings Inc. (INHD) reversed early gains to trade nearly 15% lower on Wednesday after the company announced the launch of an artificial intelligence strategic initiative to boost efficiency in its electronic devices trading business.
INHD shares had surged more than 180% shortly after the update.
The plan focuses on developing AI-powered data analytics tools through a mix of in-house research and external partnerships. INNO Holdings plans to introduce systems such as AI-based quality inspection, product rating, and pricing tools for mobile phones.
These solutions will offer real-time insights to support procurement, sales, and quality control, the company said. The initiative is still in its early planning stage and has not yet been implemented.
"Leveraging our Asian supply chain expertise and B2B insights, it is our hope to rapidly develop differentiated AI applications to support the Company’s long-term growth in this digital era,” CEO Ding Wei said.
INNO Holdings’ online platform features recycling and trading services. On the recycling side, users can return old phones through mail-in options, physical stores, partners, or online channels. On the trading side, the platform enables buying and selling of used phones.
Retail sentiment on Stocktwits turned ‘extremely bullish’ from ‘bullish’ a day earlier, amid ‘extremely high’ message volumes.
Users were generally bullish despite the stock’s massive drop from its day highs. One user said that the stock “historically pops back hard”.
Another user called it a “false dip.”
Last December, the company implemented a 1-for-24 reverse share split. In 2026, the stock had declined nearly 70%.
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