Cinedigm (NASDAQ:CIDM) Stock Sees Bullish Momentum: How to Trade Now?

Cinedigm (NASDAQ:CIDM) jumped 32% after reporting impressive user and revenue growth. The company reported an increase in streaming channel revenue from last year, indicating that the growth experienced in the streaming space is unlikely to slow down any time soon.

 Cinedigm, which deals with video distribution, has shifted from its legacy business in a big way towards the steaming space CEO Chris McGurk said that they have transitioned from the legacy digital cinema space to a high growth steaming channel and entertainment company. This is good music for Cinedigm investors.

The company indicated that its revenue was up 7% YoY to around R$8.3 million in the past quarter. Notably, entertainment and content revenue contributed to most of this increase by $7.2 million. In addition, Cinedigm’s streaming channel revenue was up 200% YoY, with streaming minutes also jumping 285%, which indicates solid growth in the segment. The company also reduced its debt laid by $37 million. So in the coming months, CIDM is a stock to watch.

Market Reaction:

On Thursday,  CIDM stock surged 38% at $1.49 with more than 173.60 million shares, compared to its average volume of 23.73 million shares. The stock had moved within a range of $1.2300 – 1.6500 after opening the trade at $1.34. Over the past 52-week, the stock has been trading within a range of $0.4500 – 2.3300.