Digital media and content technology company Vinco Ventures (US:BBIG) moved 5.7% higher in trading on Tuesday after the company announced that it had reached a settlement agreement with the State of Nevada. BBIG continued its rally after hours, mounting a further 5.5% gain with the stock reaching $1.03 per share.
BBIG has risen 6 ranks this week and is currently the 7th most held stock by retail investors that have linked their portfolio free with the Fintel platform.
The latest directive and litigation case was a result of a hostile takeover attempt from strategic partner ZASH Global which resulted in a court battle after BBIG removed ZASH insiders from the board and caused Vinco to become non-compliant with Nasdaq’s director independence rules.
The settlement resulted in a mass exodus of management and senior directors of Vinco Ventures which included the following immediate departures:
- Co-Founder and former Co-CEO John Colucci
- Former CFO and Independent Director Philip Jones
- Board Director Michael Distasio
- Board Director Elliot Goldstein
In accordance with the settlement, Ross Miller was named as sole CEO to run the company under the oversight of BBIG’s Board of Directors.
Miller’s promotion to sole CEO comes after the initial appointment as Co-CEO on the 26th of August, which was initially announced in accordance with a court order from the State of Nevada. Miller was previously CEO of BKB Group (DirecTV subsidiary), is currently a County Commissioner for Clark County in Nevada and works as a consultant for Silver Palm Group.
BBIG also appointed Gabe Hunterton as President and Brian Hart & Jesse Law as new independent Board directors who will fill two of the three vacant director seats following the shake up.
Ross Miller commented on the announcement, stating to investors “With the settlement agreement, and litigation behind us, Vinco’s leadership team is aggressively working together towards the completion of our quarterly filings as well as working closely with the Zash and ZVV management teams to work towards completion of the combination of these companies as soon as possible”
New management in place and renewed direction for the company may set the tone for a spark of bullish investor sentiment. BBIG currently has a market cap of ~$200 million, with the stock trading -45% lower since the beginning of 2022 and -75% lower on a 1-year basis.
Sentiment in the underlying options market for BBIG remains undoubtedly strong with a Fintel institutional put/call ratio of 0.08. This ratio is derived by assessing all open put and call options in the market for a specific stock.
BBIG also remains an attractive candidate for a potential gamma squeeze according to the Fintel platform with a score of 95.81 . The stock ranks in 10th place out of 320 screened candidates after rising 5 ranks this week.
BBIG has call open interest that equates for 4.17% of the total float with an IV30 score of 2.32 which has risen 47.4% this week.
Short interest equates to ~18.5% of the float according to Nasdaq data.
This article originally appeared on Fintel
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