BullFrog AI (BFRG) Stock Surges 30% on AI Licensing Agreement


  • Shares of AI specialist BullFrog AI (BFRG) surged amid a down day for the equities sector.
  • The company announced a licensing agreement with a major laboratory.
  • BFRG stock may also benefit from speculative trading interest.
BFRG stock - BullFrog AI (BFRG) Stock Surges 30% on AI Licensing Agreement

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Shares of artificial intelligence (AI) specialist BullFrog AI (NASDAQ:BFRG) — which focuses on streamlining data analytics in therapeutics development — popped dramatically higher against a down day for the equities sector. The catalyst for BFRG stock centered on the underlying enterprise inking a licensing agreement with a major laboratory. Also, speculative interest may have contributed to its rise.

According to BullFrog AI’s press release, it signed a worldwide license agreement with Johns Hopkins University Applied Physics Laboratory (APL) to use patented technology powering BullFrog’s bfLEAP platform. Fundamentally, bfLEAP “…analyzes drug development data to potentially make life-saving therapies and treatments available to patients more quickly.”

Specifically, “[t]he patented technology from APL includes analytical models that enable the analysis and interpretation of large, complex, and diverse datasets that may be incomplete and comprise both numerical and categorical data and provide explainable results.” Significantly, BullFrog claims that the technology performs better than well-known algorithms in benchmarking tests.

Short-Squeeze Speculation May Also Lift BFRG Stock

In addition to the scientific catalyst undergirding BFRG stock, BullFrog’s valuation may also benefit from short-squeeze speculation. While data from Fintel indicates that BFRG’s short interest is only 5.47% of float combined with a short interest ratio of 0.18 days to cover (hardly remarkable stats), it rates highly on the investment resource’s proprietary Short Squeeze Score.

At the time of writing, BFRG stock scores 91.39 out of 100 on this indicator. Per Fintel, the “…number ranges from 0 to 100, with higher numbers indicating a higher risk of a short squeeze relative to its peers, and 50 being the average.”

Fintel points out that at a leading prime brokerage, the number of shares of BFRG stock available to be shorted is currently zero. To clarify, this figure does not represent the total number of shares available to be shorted. However, it may indicate demand for speculative activity.

Plus, investors should note that the short borrow fee for BFRG stock spiked from 229.52% on March 22 to 342.46% today. Therefore, the lift in shares might not be over yet.

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On the date of publication, Josh Enomoto 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.

A former senior business analyst for Sony Electronics, Josh Enomoto has helped broker major contracts with Fortune Global 500 companies. Over the past several years, he has delivered unique, critical insights for the investment markets, as well as various other industries including legal, construction management, and healthcare. Tweet him at @EnomotoMedia.

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