Mind Technology $MIND Stock Rockets 39% In After-hours On Navy Contract

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MIND stock rocketed 39% in after-hours trading on December 13, 2021, after the company announced an R&D agreement with the U.S. Navy.


On December 13, 2021, MIND Technology (NASDAQ: MIND) announced that it has entered into a Cooperative Research and Development Agreement (CRADA) with the United States Navy’s Naval Surface Warfare Center, Panama City Division (NSWC PCD).

The CRADA, titled, “Advanced Mine Finding,” will allow scientists and engineers from MIND and the US Navy to collaborate on optimizing the next generation of mine-hunting sonar systems to ensure that they fit the needs of the warfighter.

Commenting on the agreement, MIND’s Chief Technology Officer, Andy Meecham, stated, “Through our subsidiary, Klein Marine Systems, MIND has a long history of supporting the US Navy. I’m thrilled that this CRADA will allow us to leverage the expertise of the scientists and engineers at NSWC PCD to provide innovative solutions to the warfighter, now and into the future. This agreement demonstrates our corporate focus on innovation and new technology, which has delivered game-changing capabilities such as our unique full-swath MA-X™ sonars, will continue to define the gold standard in underwater sensing.”

MIND Technology, Inc. provides technology to the oceanographic, hydrographic, defense, seismic and security industries. Headquartered in The Woodlands, Texas, MIND has a global presence with key operating locations in the United States, Singapore, Malaysia, and the United Kingdom. Its Seamap and Klein units, design, manufacture and sell specialized, high performance, marine sonar and seismic equipment.

MIND Technology Q3 Reporting

On December 8, 2021, MIND Technology reported Q3 EPS of (20c). The company reported Q3 revenue of $8.3M.

“On November 22nd, we pre-released our expected FY22 Q3 results which demonstrated an uptick in orders and activity, as we had forecast. Revenues from marine technology product sales rose 23% sequentially and were up 31% year-over-year. Our order flow is increasing, as expected, and our backlog of approximately $10.0M included orders for commercial sonar and source controller products, in addition to sonar systems for military applications. Based on our backlog and ongoing order activity that is expected to include two anticipated large orders in Q4, we expect revenues from continuing operations in FY22 to exceed those of FY21. On November 12th, we issued 432,000 shares of our 9% Series A Cumulative Preferred Stock in an underwritten public offering. This generated net proceeds to the Company of about $9.5M, after underwriter discounts, commissions and other costs, We also negotiated the sale of a substantial portion of our legacy leasing assets during Q3. This resulted in proceeds to the company of over $2.5M in Q3, with approximately another $2.0M expected in Q4 of this year…Our long-term outlook remains positive as we progress with our strategic initiatives to expand our product offerings to meet the increasing needs of the maritime market, which will underpin our future growth. The continued disruptions in the global supply chain that began earlier this year do pose a risk to this favorable outlook”.

VIDEO MIND Technology (MIND) Co-CEO, CFO Robert Capps and COO Dennis Morris – Presentation from NobleCon17

MIND Technology Co-CEO, CFO Robert Capps and COO Dennis Morris’ presentation from NobleCon17, January 2021.

MIND Stock Technical Analysis

Mind Stock

Both the long and short-term trends are negative. It is better to avoid buying stocks with negative trends. MIND is one of the lesser performing stocks in the Energy Equipment & Services industry. 91% of 102 stocks in the same industry do better. MIND just made a new 52 week low. This is a very bad signal when you consider that S&P500 Index is trading near new highs. There does appear to be a positive divergence between large players volume and price which is bullish. There is a resistance zone ranging from 1.65 to 1.68. This zone is formed by a combination of multiple trend lines and important moving averages in multiple time frames. The technical rating of MIND is bad and it also does not present a quality setup at the moment. Price movement has been a little bit too volatile to find a nice entry and exit point. It is probably a good idea to wait for a consolidation first. Click here to sign up for email alerts on when MIND stock is a good entry.

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