Top Penny Stocks Today: Here’s Why MTEK Stock Is Moving
Traders love penny stocks, especially if they’re making big moves. In the stock market today, there are plenty to choose from. Having a keen eye for opportunity, understanding how to read charts, and knowing how to trade volatile stocks come in handy. But the first step for many is finding out why certain penny stocks are moving in the first place.
What has caused such a breakout? Is there news to read or filings to reference, or is this simply a market or speculation-driven move? We’ve seen plenty of trends that trigger penny stock breakouts that don’t involve news catalysts. Short squeeze stocks (stocks with high short interest), low float penny stocks, and even sympathy sentiment can make an impact.
Earlier today, we discussed BON stock in our article: Why BON Stock Exploded Overnight. That was a clear example of a news catalyst sending a penny stock into the stratosphere overnight. The recent IPO of Maris-Tech Ltd. (NASDAQ: MTEK) has put yet another penny stock on the watch list of traders. But why is MTEK stock on the move right now?
What To Know About Maris-Tech Ltd. (NASDAQ:MTEK)
Maris-Tech provides video transmission technology to businesses. It focuses on offering its solutions to the defense and Homeland Security sectors. In particular, its platform is designed to integrate with land, sea, and aerospace applications for gathering intelligence in various settings.
Markets and applications range from unmanned vehicles and drones to commercial applications in video processing.
In looking at some of the registration statements leading up to its IPO, Maris-Tech recorded over $1.3 million in revenue for the first six months of 2021. This was up more than 100% compared to the prior year’s period. It also reported a net loss per share during H1 2021 of 2 cents. This was also better than the prior year’s period, where it posted a 9-cent loss per share. More details on its financials can be seen in the image below:
As highlighted in its corporate deck filed on January 20, Maris aims at becoming a “Top 5” global video analysis company. Select customers include Aero Sol, Mobilicom, FlyAbility, Elbit Systems, and MeproLight, among others.
Something else that might be of interest is members of the board of directors. All have decades of experience in various capacities. However, one in particular, Naama Avrahami, a Board Nominee, lists experience with “Security Token Offering and Blockchain Technologies” on her bio. While no cryptocurrency or metaverse keywords were listed in its corporate presentation, this seemed like a stand-out considering the recent hype stemming from the DeFi movement.
It may also be worth noting the company’s Jupiter Platform. In particular, Jupiter AI is designed for “situational awareness” applications. According to its “Technological Roadmap,” Jupiter AI development is paired with “AI Edge Computing” through 2023.
MTEK Stock News
The biggest news for MTEK stock is the IPO. Specifically, traders are circulating information about the size of the MTEK initial public offering. The company raised $15.5 million by selling only 3.7 million shares. As discussed above, stocks can move without direct news catalysts and often have something to do with other technical factors.
Considering the current float from the IPO is below 5 million, this has put MTEK stock on the radar of traders hunting for low float penny stocks. Meanwhile, the formal closing date of the offering is expected tomorrow (Feb. 4), putting a timeline in place for another “event” for the market to observe.
According to SEC filings, Maris plans on using most of the proceeds from the offering for R&D and marketing & sales for new territories. Furthermore, those marketing efforts will have an “emphasis on the U.S. market,” according to the company’s most recent F-1/A posted last month.
Regardless, since the official IPO, MTEK stock hasn’t managed to reclaim its actual IPO levels. The company went public by offering shares at $4.20 apiece. Since opening for trade, MTEK has traded in a range of $2.71 and $3.83 as of this article.
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