Unusual Machines, Inc. (UMAC) saw a significant surge in its stock price on December 23, 2024, closing at $15.58, up 23.55% from the previous close of $12.61. The stock opened at $12.61 and reached an intraday high of $15.94, with trading volume soaring to 8,063,551 shares, more than double its average daily volume. This dramatic rise was largely driven by a letter to shareholders from CEO Allan Evans, addressing concerns about potential short-seller manipulation during the holiday season. The letter emphasized the company's commitment to transparency and strategic growth in the U.S. drone industry, highlighting recent achievements such as strategic acquisitions and the launch of U.S.-made drone products.
The communication reassured investors of Unusual Machines' solid operational foundation and long-term vision, countering any negative sentiment that short sellers might have attempted to exploit. The letter also detailed proactive measures, including changing auditors and simplifying the corporate structure, to maintain high standards of transparency and accountability. This bolstered investor confidence, as reflected in the stock's substantial price increase and trading activity.