Stock trading analysis concept with investor hand pointing at candlestick chart, illustrating market movement, price action, investment strategy, and technical analysis in financial trading.

Fathom Holdings (FTHM) Stock Climbs Nearly 20% After Hours On Revised Merger Deal With Neighborhood Intelligence

Fathom Holdings Inc. (NASDAQ:FTHM) shares soared 19.39% to $0.62 in after-hours trading on Thursday, following news of a revised merger structure with data and technology holding company Neighborhood Intelligence Inc. (NASDAQ:NXH).

Fathom Holdings, a technology-driven real estate services platform, announced the development in an after-market statement. The after-hours gain follows a 1.63% dip in the regular session.

According to Benzinga Pro data, FTHM closed Thursday at $0.52.

New Deal Replaces June Merger Agreement

Under the revised deal, Fathom would combine its national residential brokerage and title business with most of Neighborhood’s digital asset holdings. These assets include its approximately 38.8% direct and indirect stake in tZERO Group Inc., Medici-related fund assets, and a direct investment in GrainChain Inc.

The transaction would ascribe no less than $130 million in value to the contributed digital assets, payable through newly issued Fathom shares. NXH is expected to retain a controlling interest in Fathom post-close.

Blockchain Ambitions Drive Real Estate Push

Neighborhood Intelligence Executive Chairman and CEO Marcus Lemonis said the structure creates a “transparent, trackable” public equity stake from assets he called difficult to value on the balance sheet. Fathom Chairman Scott Flanders pointed to opportunities in title services, tokenization and blockchain applications across real estate.

The deal remains subject to definitive agreements, board approvals, an independent fairness opinion and customary closing conditions, including regulatory clearance. Completion is not guaranteed.

Neighborhood Intelligence’s market capitalization is $468.80 million.

In the second quarter, reported in August, Fathom posted very mixed results. Revenue for the period came in at $114.61 million, massively topping the analyst estimate of $25.40 million by 351.2%.

Earnings per share for the quarter came in at -$0.19, missing the estimate of -$0.02 by 850%.

Trading Metrics, Technical Analysis

Fathom Holdings has a market capitalization of $17.69 million, a 52-week high of $2.20 and a 52-week low of $0.40. The company has approximately 34.21 million shares outstanding.

The Relative Strength Index (RSI) of FTHM stands at 31.21.

The small-cap stock has declined 75.03% over the past 12 months.

FTHM is currently positioned at about 6.7% of its 52-week range, very close to its annual low.

Benzinga’s Edge Stock Rankings indicate Fathom Holdings stock has a negative price trend across all time frames.

Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.

Photo Courtesy: Ksw Photographer on Shutterstock.com

Market News and Data brought to you by Benzinga APIs

To add Benzinga News as your preferred source on Google, click here.