Amergent Hospitality Group Inc (OTCMKTS:AMHG) Stock Moves in a Narrow range Recently

Amergent Hospitality Group Inc (OTCMKTS:AMHG) stock was in focus as the stock ended lower on Thursday after the recent consolidation.

Market Action

In the previous trading session, AMHG fell 2% to $0.52. A total of 6.1k shares traded for the session hands, well above its average volume of 29k shares. The stock opened at $0.5050 and moved in a range of $0.5000 – 0.5295.

Key Trigger

September 1, 2021 – Amergent Hospitality Group Inc. Acquires Pie Squared Holdings D/B/A PizzaRev

Amergent Hospitality announced it has acquired fast casual restaurant concept PizzaRev.

Amergent through its wholly owned subsidiary Pie Squared Holdings will operate three company owned stores and have nine franchise locations.

PizzaRev serves award-winning custom-crafted personal-sized pizzas that are oven-fired in 3 minutes with unlimited toppings for one set price. The concept is about “Crafting Your Own” personal pizza that is prepared in a gas fired oven at 900 degrees as well as offering a variety of salads, beverages and desserts.

Key Quote:

Amergent’s President, Fred Glick, stated, “We’re excited to have now entered the pizza category with the acquisition of a brand leader in PizzaRev and bringing in experienced PizzaRev operator, Matthew Avila as brand leader. As noted by our recent announcement of opening of a new Little Big Burger location at the University of Oregon, we are back in growth mode. By entering the pizza space via this initial acquisition, Amergent will have the ability to identify additional pizza concepts to acquire and operate. We anticipate numerous synergies including improved franchisee support, shared information technology, supply chain efficiencies, improved sales and marketing, research and development, complementary geographies and customers, and enhanced employee opportunity.”

Trader Notes:

AMHG stock has underperformed recently with a fall of over 25% in the past 6-month. On the technical basis, the stock is trading below its 50-day and 20-Day SMA stand at $0.53 and $0.54 respectively. Moreover, RSI at 46 signals that the stock is trading near the neutral zone.