The Weebit Nano Ltd (ASX: WBT) share price has surged more than 165% in the past week. Here's why shares in the company have been flying.
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Why is the Weebit share price flying?
One catalyst for the Weebit share price surge was the company's release last week of its annual report for FY20.
Weebit achieved significant commercial and technical progress in FY20. Highlights include 2 signed letters of intent with Chinese companies and establishment of a new developmental program.
Weebit also introduced the world's first neuromorphic demo and strengthened its IP and patent portfolio with 8 new patents registered in the year. The company was also able to raise $9.1 million earlier this year, enabling it to accelerate its development and commercialisation initiatives.
Another catalyst for the Weebit share price jump was the announcement of a new patent filing last week. The new patent – filed by Weebit and its development partner Leti – will help the company further protect the intellectual property of its silicon oxide (SiOx) ReRam technology.
It will allow Weebit to implement multi-level storage in its flagship Resistive Random-Access Memory (ReRam) technology. This will enable the company to boost memory storage capacity without increasing the number of memory cells, making memory more cost-efficient.
The company's management said the new patent would significantly improve the company's cost competitiveness.
What does Weebit do?
Weebit develops next-generation memory technology for the global semiconductor industry. The company's flagship ReRam technology is based on silicon oxide, which allows semiconductor memory elements to be cheaper, faster and more energy-efficient.
Weebit says the company's ReRam is 1000 times faster and uses 1000 times less power than current flash memory. In addition, the technology has been designed to provide memory solutions for computers, laptops and smartphones.
Shares in Weebit have continued to climb today. At the time of writing, the Weebit share price is trading more than 24% higher for the day, slightly below its intra-day high of 78 cents. The Weebit share price has more than doubled in the past week, currently trading more than 106% higher since last Monday.
