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We recently compiled a list of the 10 Small Firms Kick Off Monday with Strong Gains. In this article, we are going to take a look at where MicroAlgo Inc. (NASDAQ:MLGO) stands against the other stocks with strong gains.
Wall Street's main indices kicked off Monday's trading with a strong finish, ending in the green territory as investors hoped President Donald Trump would dial back on his wide-ranging tariff plans to allow the US to skirt an economic slowdown.
The Nasdaq posted the largest gain, up 2.27 percent, followed by the S&P 500, up 1.76 percent, and the Dow Jones, at 1.42 percent.
Ten companies under the micro- and small-cap sectors mirrored the broader market optimism, registering double- to triple-digit gains at intra-day trading. In this article, let us explore the reasons behind their gains.
To come up with the list, we considered only the stocks with the highest gains in terms of percentage change.
A technician in a lab coat analyzing the performance of a data intelligence service.
MicroAlgo Inc. (NASDAQ:MLGO)
MicroAlgo Inc. (NASDAQ:MLGO) skyrocketed by 508.7 percent at intra-day trading on Monday before ending the day just up by 455.16 percent to end at $13.99 apiece following news that it plans to issue more shares.
According to the company, the new shares will be offered at a price of $8 apiece. The offering was in line with MLGO’s $20-million bond purchase agreement with creditors in October last year.
The bonds, which have a maturity period of 360 days, are convertible into common shares at a conversion price equal to 70 percent of the lowest closing market price during the 60 trading days preceding the conversion request.
According to MicroAlgo (NASDAQ:MLGO), it received notice from the creditors under this US$20 million convertible bond purchase agreement, requesting the company to issue new shares at $0.8 per share to repay the debt in accordance with the agreement terms.
“The company plans to fulfill the relevant clauses of this US$20 million convertible bond purchase agreement and will issue new shares at $ 0.8 per share for debt repayment,” it said.
Overall, MLGO ranks first on our list of small firms kick off Monday with strong gains. While we acknowledge the potential of MLGO as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is as promising as MLGO but trades at less than 5 times its earnings, check out our report about the cheapest AI stock.