Two days of trading have seen HTC’s stock price skyrocket 21%. While the surge in HTC’s stock price is newsworthy in its own right, what’s even more surprising is that HTC’s stock went up 10% on Monday after HTC reported that revenue for February was 35.16% lower than it was in January and 54.48% lower than what HTC reported in February of 2015, which resulted in the worst monthly revenue for HTC in over 10 years.
So why is HTC’s stock price going up? Investors are flocking to purchase shares on news that HTC Vive pre-orders are off to a great start and that HTC’s first production run of the UA HealthBox has sold out. Naturally, HTC isn’t giving exact Vive pre-order figures, but we do know that more than 15,000 units were pre-ordered in the first 10 minutes. To break that down, HTC managed to secure more than $12 million in revenue (15,000 units multiplied by $800) in 10 minutes. While Vive pre-orders kicked off on February 29, HTC will likely not report the revenue of those devices until April since customer credit cards will not be charged until the Vive ships.
Despite the fact that the Vive is off to a good start, HTC still needs the HTC 10 to be a success if it wants to survive 2016. The phone’s performance should be in line with that of the LG G5 and Samsung Galaxy S7, but HTC will need to step up its marketing game if it truly wants to compete.