Why Is Velo3D Stock Surging Wednesday?

Velo3D, Inc. (NYSE:VELO) stock rose Wednesday, reflecting a positive sentiment in the market. The move comes as the broader market is experiencing gains, with the S&P 500 up 0.37% and the Technology sector leading the way with a 1.68% increase. Recent Corporate Developments Velo3D has secured significant defense contracts in recent months. On Dec. 22, the company announced a $32.6 million Department of War contract under Project FORGE. More recently, on Jan. 13, Velo3D entered a Cooperative Research and Development Agreement with the U.S. Army’s DEVCOM Ground Vehicle Systems Center. The company also collaborated with Momentus Inc. (NASDAQ:MNTS) on a 3D-printed fuel tank for space testing, as announced on Jan. 5. Technical Analysis Despite the overall market positivity, there are no specific company news or announcements driving this price action. Instead, the stock appears to be benefiting from the broader upward momentum in the technology sector. The stock is currently trading at $14.55, which is a notable increase from its previous close. This upward movement aligns with the positive performance of major indices, particularly the Nasdaq, which is up 0.92%. Velo3D’s stock has shown impressive performance over the past year, with a remarkable 316.67% increase. Currently, it is positioned closer to its 52-week highs than its lows, indicating strong long-term momentum. The stock is trading 16% below its 20-day simple moving average (SMA) but is 25.1% above its 50-day SMA and 81.2% above its 100-day SMA, demonstrating a solid long-term uptrend. This positioning suggests that while there may be short-term volatility, the longer-term trend remains intact. The RSI is currently at 46.57, indicating neutral territory, while the MACD is below its signal line, suggesting bearish pressure on the stock. The combination of these indicators reflects mixed momentum, with traders likely watching for potential bullish signals as the stock navigates its current range. Earnings & Analyst Outlook Investors are looking ahead to the next earnings report on Feb. 26, 2026. EPS Estimate: Loss of 50 cents Revenue Estimate: $8.50 million Analyst Consensus & Recent Actions: The stock carries a Buy Rating with an average price target of $18. Recent analyst moves include: Lake Street: Buy (Raises Target to $18.00) (Dec. 29, 2025) VELO Price Action: Velo3D shares were up 4.00% at $14.56 during premarket trading on Wednesday, according to Benzinga Pro data. Photo by Michael Vi via Shutterstock