Today, investors in an intriguing micro cap technology company, MySize (NADAQ:MYSZ), are seeing impressive price action. Indeed, shares of MYSZ stock have absolutely skyrocketed. Currently, MySize has seen its valuation balloon more than 80% larger today. This move comes on more than 100-times the average daily volume.
This is absolutely incredible volume. Indeed, investors may infer from this price action that something’s going on with this company. That’s certainly the case.
However, from a business model perspective, this is a company that’s intriguing in its own right. MySize uses proprietary algorithms and technology to calculate and record measurements used in a range of applications. Given the troubles the apparel industry has with sizing, this technology allows for more efficient e-commerce transactions in the apparel space. Anyone with a smartphone can use this technology, which is surprisingly accurate. Accordingly, users appear to be very happy with the time savings of not having to return items. For e-commerce merchants, the cost savings this technology provides are obvious.
Today, the measurement technology company announced some big partnership news. Let’s dive into what was announced and why investors are jumping on this stock today.
MYSZ Stock Surges on Contract With Dockers
Given the relative size (in market cap terms) of MySize, this is a very small company with what appears to be big upside. That is, assuming this company can make big partnership deals.
Today, the company announced a partnership with the Turkish arm of Dockers to provide its sizing technology. This technology integration between the two companies is expected to reduce return rates from the subsidiary of Levi’s (NYSE:LEVI). This deal has been based on initial data that showed return rates dropped by 47%. For a company like Dockers/Levi’s, this could be a big deal.
For MySize, this deal provides investors with assurances that its underlying technology works. Any sort of validation by the market for a company like MySize is a big deal. Accordingly, today’s move in MYSZ stock appears to be warranted.
Investors may want to keep a close eye on MySize from here to see if any additional partnerships materialize. This is a small cap company with some big growth potential. Today, that growth potential has certainly gotten a boost.
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On the date of publication, Chris MacDonald did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.