Automation supplier Excel Technologies rose in price after buying shares

Shares of the technology company Exela Technologies, Inc. (XELA) at auction on December 9 rose in price by 10.53%, to $1.26, the market capitalization reached $252.11 million. The reason was the announcement of an institutional investor’s large purchase of shares. 

Investment bank B. Riley Securities acquired XELA shares worth $35 million. Additionally, the management of Exela bought shares of its company for another $ 1 million. 

Moreover, it announced that Exela would dilute the shares less shortly. Previously, the company periodically issued new shares, reducing their value. Although the company still has problems, purchasing and statements are positive signals for investors. 

Exela shares are trading 84% below 52-week highs; the company is suffering losses and has a lot of debt. Therefore, the potential of stocks requires confirmation by more extended positive dynamics. Exela operates in the promising digital transformation services market, offering solutions for business process automation. 

So, in the portfolio of Exela solutions, there are tools with elements of artificial intelligence for the automatic classification of documents and distribution of data in local repositories. Similar resolutions in financial and legal companies, as well as healthcare institutions. 

For example, Exela by the UK National Health Service is a potential provider of tools for working with email, contact center traffic, and support services. The advantage of the Exela toolset is simple scaling and a significant reduction in the amount of repetitive primitive manual operations when working with documents.