Shares of Energous Corp WATT are on fire, up more than 30 percent on Thursday on top of Wednesday's triple-digit percentage gain.
What You Need To Know
Energous develops a wireless charging technology, WattUp, which is a radio frequency-based charging solution that delivers power through radio bands, similar to a Wi-Fi router. The stock was trading at just $9 on Tuesday before hitting a new all-time high of $33 after a series of positive news updates.
The initial surge higher on Wednesday immediately followed a press release in which Energous said it has received a certification from the Federal Communications Commission for its first-generation WattUp Mid Field transmitter. Energous is the first-ever recipient of a certification for power-at-a-distance wireless charging technology, the company said.
"Older wireless charging technologies have received limited adoption over the past 15 years and are confined to contact-based charging only. The FCC certification of Energous' power-at-a-distance wireless charging transmitter is a major market milestone. It opens up options, outside of just contact-based charging, to Wireless Charging 2.0: an ecosystem where devices can be charged both via [a] pad and at a distance," said Stephen R. Rizzone, president and CEO of Energous.
"Untethered, wire-free charging — such as charging a fitness band even while wearing it — is exactly what consumers have been waiting for. We are now in a position to move our consumer electronics, IoT and smart home customers forward at an accelerated pace."
What Else Is Going On?
An AppleInsider report highlighted Powercast, a second at-range wireless charging company that announced it has received approval from the FCC for its far-field charging technology. Traders and investors may find this report to be a slight negative for Energous, since it may be competing with Powercast in the future.
Nevertheless, investors weren't spooked during Thursday's trading session and likely placed more emphasis on an SEC Schedule 13D filing which showed a hedge bought a fairly large stake in Energous. Malcolm Fairbairn's Ascend Capital now owns a 9.9-percent stake in the company.
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