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Scilex Bitcoin Investment Propels Datavault AI Forward

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Written by Timothy Sykes
Updated 9/27/2025, 9:13 am ET | 5 min

In this article Last trade Sep, 26 7:44 PM

  • DVLT+37.72%
    DVLT - NASDAQDatavault AI Inc.
    $1.15+0.31 (+37.72%)
    Volume:  310.05M
    Float:  79.55M
    $0.90Day Low/High$1.38

Datavault AI Inc.’s stocks have been trading up by 35.36% following investor optimism on strategic advancements.

Technology industry expert:

Analyst sentiment – neutral

Datavault AI (DVLT) presents a precarious market position plagued by negative profitability ratios, indicating substantial financial distress. With exorbitant ebitmargin and profitmargintot figures of -919.3% and -1545.85% respectively, the company’s cost structure severely outweighs its revenue-generating capacity. Despite nominal revenue figures ($2.67 million), revenue growth (-5.86% over three years) suggests stagnation. Coupled with a quick ratio of 0.1 and a leverage ratio of 1.6, Datavault AI struggles with liquidity and solvency, necessitating immediate operational restructuring. Return metrics demonstrate catastrophic results, accentuating an unsustainable business model that is unable to generate positive returns.

Technically, Datavault AI exhibits a bullish short-term trend as evidenced by recent price action. Between September 22 and September 26, the stock price ascended from $0.4173 to $1.13, driven by successive gap-up openings and robust buying volumes. This rally suggests significant investor interest, likely in response to the recent investment announcement. Technical indicators support a buying strategy, leveraging breakout levels around $1.00 and setting targets at resistances near $1.13. The volume pattern underpins this strategy, demonstrating sustained accumulation. However, traders should exercise caution and enforce strict stop-loss levels given the potential for volatility.

Recent developments spotlight a notable external catalyst. A $150 million investment from Scilex Holding Company into Datavault AI, via a Bitcoin transaction, elevates the company’s capital position significantly. This influx aims not only to enhance Datavault’s infrastructure but also its market penetration in AI and blockchain, aligning with strategic aims to pivot into high-growth sectors such as biotech and entertainment. Competitive positioning against industry benchmarks remains challenging, but this capital infusion could shift trajectories if correctly leveraged. As the stock approaches critical resistance levels, a price target of $1.50 could materialize with persistent momentum and favorable strategic execution. Overall, despite historical financial underperformance, the cash injection fuels a cautiously optimistic outlook.

Candlestick Chart

Weekly Update Sep 22 – Sep 26, 2025: On Saturday, September 27, 2025 Datavault AI Inc. stock [NASDAQ: DVLT] is trending up by 35.36%! Discover the key drivers behind this movement as well as our expert analysis in the detailed breakdown below.

Quick Financial Overview

Datavault AI recently saw notable movements in its stock price, with a remarkable increase following the pivotal Scilex investment news. The closing price showed a striking jump from $1 to $1.13 over a single trading day, indicating strong market confidence. Analyzing the financial reports, Datavault’s revenue figures sit at $2.67M, with a revenue per share of approximately $0.03. Despite previous setbacks, this inflow of investment is expected to catalyze further technological exploits and market penetration.

More Breaking News

The financial metrics reveal a challenging recent past, with notably high negative figures in EBIT margins and profitability ratios, which have hindered previous growth. Yet, the current high PE ratio suggests optimistic investor sentiment surrounding future earnings. The inflow of $150M is anticipated to reverse these trends, propelling Datavault towards operational break-even and beyond. This investment influx is also geared to bolster financial strength, essential for sustaining infrastructure and innovation in competitive sectors.

Conclusion

In the wake of Scilex’s significant Bitcoin-dominated investment, Datavault AI emerges as a key sentinel in the AI industry, set to benefit from the anticipated market traction and explored opportunities. While financial challenges remain, the recent developments suggest a promising realignment of corporate strategy. Overcoming prior fiscal barriers with this groundbreaking capital infusion marks the beginning of a new chapter, as Datavault seeks to cement its position in the burgeoning realm of applied artificial intelligence. With insights from financial thought leaders, it is evident that preparation is crucial in navigating these strategic shifts. As millionaire penny stock trader and teacher Tim Sykes says, “Preparation plus patience leads to big profits.” This underscores the strategic prudence required to leverage current trends effectively.

The Scilex-initiated financial stimulus may well serve as a launching point for Datavault AI, amplifying its capacity to innovate and expand on a global scale. This transformative investment signals a possible turnaround, invoking optimism and invigorated enthusiasm among stakeholders and the wider trader community alike.

This is stock news, not investment advice. Timothy Sykes News delivers real-time stock market news focused on key catalysts driving short-term price movements. Our content is tailored for active traders and investors seeking to capitalize on rapid price fluctuations, particularly in volatile sectors like penny stocks. Readers come to us for detailed coverage on earnings reports, mergers, FDA approvals, new contracts, and unusual trading volumes that can trigger significant short-term price action. Some users utilize our news to explain sudden stock movements, while others rely on it for diligent research into potential investment opportunities.

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Tim Sykes

Head Writer at TimothySykes.com, Lead Mentor at the Trading Challenge
In his 20-plus years of trading, Tim has made $7.9 million. In his 15-plus years of teaching, Tim’s Trading Challenge has produced over 30 millionaire students. His philosophy emphasizes small gains and cutting losses quickly.
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In this article (YTD Performance)


* Results are not typical and will vary from person to person. Making money trading stocks takes time, dedication, and hard work. There are inherent risks involved with investing in the stock market, including the loss of your investment. Past performance in the market is not indicative of future results. Any investment is at your own risk. See Terms of Service here

The available research on day trading suggests that most active traders lose money. Fees and overtrading are major contributors to these losses.

A 2000 study called “Trading is Hazardous to Your Wealth: The Common Stock Investment Performance of Individual Investors” evaluated 66,465 U.S. households that held stocks from 1991 to 1996. The households that traded most averaged an 11.4% annual return during a period where the overall market gained 17.9%. These lower returns were attributed to overconfidence.

A 2014 paper (revised 2019) titled “Learning Fast or Slow?” analyzed the complete transaction history of the Taiwan Stock Exchange between 1992 and 2006. It looked at the ongoing performance of day traders in this sample, and found that 97% of day traders can expect to lose money from trading, and more than 90% of all day trading volume can be traced to investors who predictably lose money. Additionally, it tied the behavior of gamblers and drivers who get more speeding tickets to overtrading, and cited studies showing that legalized gambling has an inverse effect on trading volume.

A 2019 research study (revised 2020) called “Day Trading for a Living?” observed 19,646 Brazilian futures contract traders who started day trading from 2013 to 2015, and recorded two years of their trading activity. The study authors found that 97% of traders with more than 300 days actively trading lost money, and only 1.1% earned more than the Brazilian minimum wage ($16 USD per day). They hypothesized that the greater returns shown in previous studies did not differentiate between frequent day traders and those who traded rarely, and that more frequent trading activity decreases the chance of profitability.

These studies show the wide variance of the available data on day trading profitability. One thing that seems clear from the research is that most day traders lose money .

Millionaire Media 66 W Flagler St. Ste. 900 Miami, FL 33130 United States (888) 878-3621 This is for information purposes only as Millionaire Media LLC nor Timothy Sykes is registered as a securities broker-dealer or an investment adviser. No information herein is intended as securities brokerage, investment, tax, accounting or legal advice, as an offer or solicitation of an offer to sell or buy, or as an endorsement, recommendation or sponsorship of any company, security or fund. Millionaire Media LLC and Timothy Sykes cannot and does not assess, verify or guarantee the adequacy, accuracy or completeness of any information, the suitability or profitability of any particular investment, or the potential value of any investment or informational source. The reader bears responsibility for his/her own investment research and decisions, should seek the advice of a qualified securities professional before making any investment, and investigate and fully understand any and all risks before investing. Millionaire Media LLC and Timothy Sykes in no way warrants the solvency, financial condition, or investment advisability of any of the securities mentioned in communications or websites. In addition, Millionaire Media LLC and Timothy Sykes accepts no liability whatsoever for any direct or consequential loss arising from any use of this information. This information is not intended to be used as the sole basis of any investment decision, nor should it be construed as advice designed to meet the investment needs of any particular investor. Past performance is not necessarily indicative of future returns.

Citations for Disclaimer

Barber, Brad M. and Odean, Terrance, Trading is Hazardous to Your Wealth: The Common Stock Investment Performance of Individual Investors. Available at SSRN: “Day Trading for a Living?”

Barber, Brad M. and Lee, Yi-Tsung and Liu, Yu-Jane and Odean, Terrance and Zhang, Ke, Learning Fast or Slow? (May 28, 2019). Forthcoming: Review of Asset Pricing Studies, Available at SSRN: “https://ssrn.com/abstract=2535636”

Chague, Fernando and De-Losso, Rodrigo and Giovannetti, Bruno, Day Trading for a Living? (June 11, 2020). Available at SSRN: “https://ssrn.com/abstract=3423101”

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