Infrared Cameras (NASDAQ:MSAI) stock is on the rise Thursday despite a lack of news from the tech company this morning.
There are no new press releases or filings with the Securities and Exchange Commission (SEC) that explain why the stock is up today. On that same note, no analysts are offering new coverage of the shares as of this writing.
Even so, heavy trading is sending shares of MSAI stock soaring higher today. As of this writing, more than 2 million shares of the stock have changed hands. That’s a massive surge in trading volume compared to the company’s average of about 28,000 shares.
One thing that investors will want to keep in mind is that MSAI is a penny stock. That comes from its low daily average trading volume, as well as its prior closing price and market capitalization.
Why That Matters to MSAI Stock
Being a penny stock means that Infrared Cameras faces certain vulnerabilities. For example, it’s easier for certain types of traders to pump and dump the stock.
It could be that this is what’s happening with the shares today. If so, investors will want to be wary about taking a stake in the company right now. It might not be long before it gives up this morning’s gains.
Investors will also keep in mind that Infrared Cameras is still new to the public market. The company’s shares made their debut earlier this week after completing a special purpose acquisition company (SPAC) merger with SportsMap Tech Acquisition.
MSAI stock is up 136.6% as of Thursday morning. However, the shares are down 12% year-to-date.
There are plenty of other stock market stories traders will want to read about below!
We have all of the hottest stock market news for Thursday! That includes the biggest pre-market stock movers this morning, why markets were down yesterday and more. All of that is ready to go at the following links!
More Thursday Stock Market News
- Today’s Biggest Pre-Market Stock Movers: 10 Top Gainers and Losers on Thursday
- Why Are Stocks Down Today?
- Is a Giant Short Squeeze Brewing in ZIM Stock?
On Penny Stocks and Low-Volume Stocks: With only the rarest exceptions, InvestorPlace does not publish commentary about companies that have a market cap of less than $100 million or trade less than 100,000 shares each day. That’s because these “penny stocks” are frequently the playground for scam artists and market manipulators. If we ever do publish commentary on a low-volume stock that may be affected by our commentary, we demand that InvestorPlace.com’s writers disclose this fact and warn readers of the risks.
Read More: Penny Stocks — How to Profit Without Getting Scammed
On the date of publication, William White 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.
