What happened

Shares of Remark Holdings (NASDAQ:MARK), an artificial intelligence (AI) and digital media specialist, jumped on Tuesday, climbing as much as 33%. Shares finished the trading day up a total of 20.7%.

The stock's gain follows approval from the Federal Communications Commission (FCC) for the company's RM-TFR8 smart terminal with near-field communication and facial-recognition technology.

A chart showing a stock price moving higher

Image source: Getty Images.

So what

TheFly, a website specializing in financial news, reports that Remark Holdings confirmed the FCC's approval of the device.

Shares of Remark Holdings have surged this year as the company's solutions have been viewed as products that can help enable contactless monitoring and provide contactless access to doors and gates -- activities that may see increased demand because of COVID-19. 

No what

In the company's full-year fiscal 2019 results in late May, Remark said it helped repurpose a version of its thermal imaging products for hospitals and businesses following the coronavirus outbreak. "The experience gained in China is currently being deployed in the United States across many industries including casinos, restaurants, malls, law enforcement agencies, and hospitality providers," management said in a May 28 press release.

The FCC's approval of Remark Holdings' product this week is likely another step in the company's efforts to capitalize on the opportunity in front of it.