Shares of the ready-meal producer DayDayCook (DDC) surged by nearly 8.5% on Thursday following the announcement of Malik Sadiq’s appointment as Chief Operating Officer. Sadiq brings 15 years of experience from American meat producer Tyson Foods to his new role.
Details
DDC’s stock prices have been rising for two consecutive trading sessions: on Tuesday, they increased by 4% to $1.06, and on Thursday, they climbed by almost 8.5% to $1.15 (U.S. markets were closed on Wednesday). The growth continued on Friday in pre-market trading, with shares up by 4.35% to $1.20. This remains below the three-month high reached on June 12, when the company announced the acquisition of the Asian food brand Omsom, which led to a 200% surge in stock prices to $1.54 per share.
On Tuesday, June 18, DDC announced Sadiq’s appointment as COO. He will lead the integration and growth of DDC’s brands worldwide. His résumé includes 15 years at Tyson Foods, where he was responsible for expanding the international business from $400 million to $2 billion.
Context
DDC is a ready-meal producer based in Hong Kong. The company went public on the NYSE on November 17, 2023. The IPO did not attract much investor interest: 3.9 million shares were priced at $8.50 each, 10% below the lower end of the prospectus range. By early December, DDC’s stock prices had fallen by about 30%. The company then decided to buy back up to 500,000 shares (12.8% of issued shares) over a year to support its stock price.
Analysts’ views
According to MarketWatch, only one analyst covers the company. The recommendation is to buy the shares, with a target price of $17.40, which is 1400% above the current price.
