Why These Defense Stocks Are Declining This Week

2. Hyperscale Data, Inc. (NYSEAMERICAN:GPUS)

Weekly Decline: -17.82%

Hyperscale Data, Inc. (NYSEAMERICAN:GPUS) is an advanced data center solutions provider. Its services include data center management, colocation, cloud hosting, and managed services solutions. The company also provides customized solutions for military markets in different parts of the world.

On March 5, Hyperscale Data, Inc. (NYSEAMERICAN:GPUS) announced that it had been granted a listing extension by NYSE until June 18, 2026, on the back of a recent plan submitted by the company to regain compliance, specifically with the requirement of achieving stockholders’ equity of $6 million or more. Shares fell 5% premarket that day. Year-to-date, the stock has crashed by 53.50%, with a near 18% decline over the past week.

Earlier in the month, Hyperscale Data, Inc. (NYSEAMERICAN:GPUS) declared preliminary results for fiscal 2024, with a total revenue of $108.8 million. The company reaffirmed its commitment to transform into a pure-play AI data center operator by the end of this year. In August last year, its Giga-tronics defense unit filed a petition for reorganization under Chapter 11 of the bankruptcy laws.