Tekcapital’s Innovative Eyewear rocketed 429% higher in just one trading session on Friday despite no fresh news being released through official channels. In addition, there weren’t any notable broker research notes released last week.
So, why did shares in Innovative Eyewear, a NASDAQ-listed Tekcapital portfolio company, surge over 400% before the Memorial Day holiday in the US?
Innovative Eyewear shares rose in spectacular fashion on high volume on Friday. More Innovative Eyewear shares traded than Tesla, AMD, Nvidia, Apple and Amazon combined – a total of LUCY 912m shares changed hands in Friday’s session.
As there was no obvious spark for the rally, the move higher was likely the culmination of positive news flow since the beginning of the year coming to a head.
The company has recorded a step change in revenue generation in recent quarters as the company begins the commercial roll out of its products following years of R&D.
Innovative Eyewear was the first company to enable smart eyewear with ChatGPT functionality last year and has since announced a series of fresh innovations and new ranges. Its attention is now firmly focused on getting its smart eyewear to as many people as possible.
At Innovative Eyewear, we recognize the transformative potential of AI agents and their integration into apps and operating systems. As these technologies become ubiquitous, we are strategically positioned to meet the growing demand with our innovative smart eyewear solutions…
— Lucyd Eyewear (@LucydEyewear) May 24, 2024
CEO Harrison Gross provided notable insight into the group’s sales and distribution strategy in a recent earnings update. The update set out how the company plans to achieve higher margins by focusing on distribution through retail partners who will provide the prescription lenses for the glasses.
This sales strategy builds on a global market strategy spearheaded by high-profile brand ambassadors, including football pundit Micah Richards. Investors now have the clearest picture of Innovative Eyewear’s go-to-market strategy, which would have contributed to Friday’s rally.
After the launch of Nautica smart eyewear at the beginning of 2024, investor anticipation will be building around the launch of additional branded smart eyewear, including Reebok and Eddie Bauer smart eyewear powered by Lucyd, later this year. The new ranges promise to bolster LUCY’s top line.
Hit the trails in style with the #Dockside frames from @nautica powered by #Lucyd ⛰️ These frames seamlessly blend #fashion with cutting-edge #technology. Whether you're conquering peaks or exploring the trails, stay #connected and look sharp with Dockside. pic.twitter.com/Ofo7V2nZ27
— Lucyd Eyewear (@LucydEyewear) May 23, 2024
The market may also be waking up to the potential for Innovative Eyewear’s smart eyewear range to carve out meaningful market share alongside alternatives developed by the world’s largest technology companies.
The smart eyewear market is forecast to grow to $33bn by 2030. Innovative Eyewear only needs a very small proportion of this market to create substantial shareholder value.
