KBS Fashion Group Limited (NASDAQ:KBSF) Stock Falls With Broader Market: Should You Buy Now?

KBS Fashion Group Limited (NASDAQ:KBSF) dropped 13% on no news. Recently the company entered an Employment Agreement with its CEO, Sun Lei. According to the Employment Agreement, the company will offer Sun Lei a cash compensation of $1.0.

In addition, once the company reports an annual revenues report for 2021, stock compensation will include 10,000 common shares for revenue of $10 million, 100,000 common stock shares for revenue of $20,000, and 250,000 common stock shares for revenue of $30 million. Also, Sun Lei will receive stock compensation of 500,000 shares if revenue hits $40 million and 1 million common stock shares if the company generates revenue of $50 million.

Notably, the term of the Employment Agreement is one year, and the company’s board of directors has approved the agreement with written consent from the company’s majority shareholders. KBS Fashion engages in the design, manufacturer, selling, and distribution of casual menswear brands through its subsidiaries. So in the coming months, KBS is a stock to watch.

Market Reaction:

On Monday, KBSF stock decreased 12.61% at $3.81 with more than 267k shares, compared to its average volume of 409k shares. The stock has moved within a range of $3.8100 – 4.2050 after opening the trade at $4.18. Over the past 52-week, the stock has been trading within a range of $1.6500 – 5.8300.