OLB Group (OLB) Stock: Why The Price Jumped Up Today

By Amit Chowdhry ● Feb 2, 2022
  • The stock price of OLB Group Inc (NASDAQ: OLB) increased by over 20% pre-market today. This is why it happened.

The stock price of OLB Group Inc (NASDAQ: OLB) increased by over 20% pre-market today. Investors are responding positively to The OLB Group, Inc. (NASDAQ: OLB), a diversified Fintech eCommerce merchant services provider and Bitcoin cryptocurrency mining enterprise, announcing that the company’s merchant services annual transaction volume run rate has reached $1.35 Billion in transaction volume as a result of 28.5 million transactions.

After the company’s acquisition of a portfolio of CBD merchant accounts in the last quarter, OLB started the current year with the highest revenue run rate in the history of the company. And as a result of a diversified merchant base that is not reliant on large merchants and high dollar transactions, the company’s eCommerce merchant services business is tracking at an anticipated annual revenue run rate exceeding $36 million for 2022. Since the acquisition, the company has benefited from onboarding approximately 150 new merchant accounts per month.

KEY QUOTES:

“In 2021, we began the year with an annualize revenue run rate of approximately $10 million. Starting this year at a $36 million annualized revenue run rate is likely to maximize our economies of scale and contribute to our bottom line.”

“Our CBD merchant portfolio acquisition is expected to add $25 million to our revenue this year and is anticipated to contribute up to $5 million in incremental EBITDA. Adding to our improved financial position by having no outstanding debt, this should give us the financial flexibility to ramp up our cryptocurrency-related operations.”

— Ronny Yakov, President and CEO of OLB

“The market is estimated to witness a y-o-y growth of approximately 20% to 23% in the next 5 years. Hemp-derived CBD is expected to grow at a CAGR of 23.4% post-pandemic owing to increasing demand from the pharmaceutical sector and rising awareness among consumers regarding health.” 

— February 2021 report by Grandview Research

Disclaimer: This content is intended for informational purposes. Before making any investment, you should do your own analysis.