Shares of biotech-turned-AI company Rocket One surged roughly 60% in premarket trading Thursday, following its rebranding and new stock ticker.
Formerly Hoth Therapeutics, the company announced a strategic shift to AI infrastructure, semiconductor technologies, and AI computing. Despite developing an experimental skin treatment, Hoth had yet to generate revenue and reported a loss of 17 cents per share in the March quarter. The legacy biotech operations will continue under a separate subsidiary.
Rocket One stated it will now focus on developing space-based AI systems for satellites. The move capitalizes on intense investor interest in space exploration, spurred by Elon Musk's SpaceX filing for an IPO last week, which boosted stocks like Rocket Lab and Intuitive Machines.
This pivot follows a pattern where small companies rebrand to AI-related identities, fueling investor mania. Rocket One's market cap stood at just over $26 million before the move; shares closed up 58.1% at $2.15.