Why Asset Entities Stock Is Trading Higher

Asset Entities Inc. ASST shares are trading higher Thursday after the company announced it has entered into an agreement with ecommerce and dropshipping company, Zendrop. 

The Details:

Asset Entities said it will be providing services including a suite of customer relationship management (CRM) solutions, Discord customer analytics and payment processing through the Ternary platform for payment processing for Discord communities. 

“We are excited about our new partnership with Zendrop and this incredible opportunity. Zendrop is at the forefront of dropshipping and e-commerce. We believe that the synergies that exist between our two companies are a game-changer,” says Asset Entities’ CEO Arshia Sarkhani.

Asset Entities shares are up on heavy trading volume following the announcement.  According to data from Benzinga Pro, more than 20.95 million shares have already been traded in the session, compared to the stock’s 100-day average of less than 542,000 shares.

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Is ASST A Good Stock To Buy?

An investor can make a few decisions when deciding whether a stock is a good buy. In addition to valuation metrics and price action which you can find on Benzinga's quote pages – like Asset Entities‘s page for example – there are factors like whether or not a company pays a dividend or buys a large portion of its stock each quarter.

These are known as capital allocation programs. Asset Entities ASST does not pay a dividend, but obviously has a few ways it can return value to shareholders. Feel free to search Benzinga's dividend calendar for the next company that is due to pay a dividend and determine what kind of yield you can earn for holding a share of the company.

For example, if you're looking to earn an annualized return of 11.%, you'll need to buy a share of PennyMac Mortgage by the April 11. Once done, you can expect to receive a nominal payout of $0.40 on April 26.

Buyback programs are obviously different and highly variable. A company can approve a buyback program and purchase shares as it sees fit over the course of time in which the buyback was authorized. Looking through the latest news on Asset Entities will often yield whether or not the company has approved a buyback program recently. Buyback programs usually serve as a support for share prices, serving as a backstop for demand.

ASST Price Action: According to Benzinga Pro, Asset Entities shares are up 23% at 65 cents at the time of publication.

Image: Mohamed Hassan from Pixabay