Enthusiast Gaming Holdings (NASDAQ:EGLX) Stock Suddenly Jumps 17%: Here is Why

There were a number of stocks which managed to clock handsome gains on Thursday and one of those was the Enthusiast Gaming Holdings (NASDAQ:EGLX) stock.

Market Stats

On Thursday, EGLX stock moved up 17.57% at $4.3500 with more than 9.58 million shares, compared to its average volume of 666.52K shares. The stock has moved within a range of $3.8000 – 4.7400 after opening the trade at $3.8200.

Record Unique Visitor Traffic During October

Following a key announcement from the company yesterday, the stock rallied strongly and ended up with gains of as much as 17% amidst heavy interest. The company announced the unique visitors’ traffic for the month of October yesterday and the announcement led to a wave of optimism into the stock for investors. The company operates a content and gaming platform that is meant for esports and gaming enthusiasts.

In the third quarter the company managed to generate revenues of as much as $43.3 and that reflected a year on year rise of as much as 165%. In this context, it is also necessary to keep in mind that the bulk of the revenues generated by Enthusiast Gaming is through the sale of advertising space to as many as 100 websites.

In this regard, the company noted that the improvement in revenues was brought about by higher direct sales and also because of the acquisition of the company Addicted Games. In the United States, the total unique visitors to the platform for October stood at 47.8 million.

Traders Corner

EGLX stock is trading above the 20-Day and 50-Day Moving averages of $3.49 and $3.52 respectively. However, the stock is trading below the 200-Day moving average of $5.46. The stock is up 25% in the past month.