Wednesday’s Hidden Gems Poised for Explosive Growth

As the opening bell rings, the market seems to have set its sights on May’s All Time High levels. Will we get there by the end of the week? Only time will tell, but with the S&P 500 opening 16 basis points higher, the market is clearly roaring to the upside, taking out shorts in the process. However, while the bullish market sentiment likens itself to a rally, it’s not all blue chips that have decided to pave the way up. In today’s issue we uncover Wall Street’s Small Cap Hidden Gems, The DoD’s 689% boom, and Wednesday’s Rising Stars to keep an eye on.

Let’s get to it!

Cracking the Code: How Actelis Networks' Military Contract Led to a 689% Stock Boom

Actelis Networks (ASNS) is making headlines in the stock market today, with its shares skyrocketing by an impressive 689% (now 821% after this morning's pre-market session). The reason behind this sudden surge? The company recently announced that it has secured a contract to provide cyber-hardened networking technology to three U.S. military bases.

This is a significant development for Actelis Networks, as their products are now certified and included in the Department of Defense Information Network's (DoDIN) approved products list. The company's offerings, which include 256-bit MACsec encryption, data fragmentation, and scrambling, are designed to provide a high level of data protection and ensure a secure network.

Actelis Networks' chairman and CEO, Tuvia Barlev, expressed his satisfaction with the contract, stating that the company has invested considerable resources in achieving these critical government security certifications. He also mentioned that these efforts are translating into new orders and a strong pipeline for their federal market segment.

As a result of this positive news, ASNS stock has attracted a lot of attention from investors. The trading volume has surged, with more than 19 million shares changing hands, significantly higher than the daily average of around 321,000 shares.

The company's unique position on the DoDIN approved products list, combined with its cutting-edge technology, has clearly caught the eye of investors looking for promising opportunities in the cybersecurity sector.

In conclusion, Actelis Networks' new military contract and the subsequent 689% increase in its stock price have put the company in the spotlight today. With its strong focus on cybersecurity and its ability to secure high-profile government contracts, Actelis Networks appears to be well-positioned for future growth in the federal market segment.

BREAKING: Unveiling the Small-Cap Tech Stocks That Have Caught the Eye of Insiders

Investors looking for potential opportunities in the small-cap tech sector may want to consider two companies that have recently seen notable insider buying activity: IZEA Worldwide (NASDAQ: IZEA) and NextNav (NASDAQ: NN).

IZEA Worldwide operates a cloud-based platform that connects brands with content creators, or influencers. The platform offers a range of services, including campaign management, expense tracking, and payment processing. What makes IZEA particularly interesting is the recent surge in insider buying activity. After several years of minimal insider transactions, the company saw a significant investment from GP Investments, a major shareholder and Latin American alternative investment firm, in Q2 of this year. GP Investments invested nearly $4 million, increasing its stake to approximately 18% of the company.

Institutional ownership in IZEA, apart from GP Investments, remains relatively low at around 15%. While institutions were buyers in Q1 2024, they began selling in Q2, coinciding with the recent market peak. Currently, no analysts provide coverage or ratings for IZEA.

One of the key attractions of IZEA is its growth potential. The company is expected to return to growth later this fiscal year and accelerate further in 2025. However, investors should note that profitability is not anticipated until 2026 at the earliest. As a microcap stock, IZEA carries inherent risks, but the company's strong balance sheet and lack of debt suggest it can sustain operations until profitability is achieved.

NextNav (NASDAQ: NN) is another small-cap tech company garnering attention from insiders. The company's flagship product, Pinnacle, is a next-generation positioning platform that provides vertical positioning in metropolitan areas. Insiders, including director Neil S. Subin and major shareholder Joseph D. Samberg of JDS Capital Management, have been accumulating shares, even as some executives (CFO, CAO, and SVP) have been selling. Overall, insiders hold approximately 7.5% of NextNav's stock, and their position continues to grow.

Institutional investors have taken a significant interest in NextNav, with ownership reaching around 80%. Notable shareholders include Corre Partners Management and Legion Partners Asset Management, which together hold about 20% of the stock. Like IZEA, NextNav currently lacks analyst coverage.

One concern surrounding NextNav is the high short interest, which surpassed 10% in mid-May and has risen alongside the share price. The stock is now facing resistance at a critical level, and weakening technical indicators (MACD and stochastic) suggest a potential 15% decline.

While both IZEA Worldwide and NextNav offer intriguing growth prospects and have attracted insider buying, investors should carefully consider the risks associated with small-cap tech investments. With that said though, when it comes to Insiders, they only put their money in opportunities they know will reap rewards. Which is why these two stocks are definitely opportunities to keep your eye on.

Pre-Market Stars: The Top Stocks to Watch Today

The pre-market trading session is witnessing significant activity, with several stocks experiencing notable gains. Let's take a closer look at the top gainers and the reasons behind their strong performance.

Actelis Networks (NASDAQ:ASNS) stock is surging more than 821% after the company secured a deal to supply technology to three military bases. This significant contract has investors excited about the company's growth prospects.

MF International (NASDAQ:MFI) shares are soaring over 139% amid heavy trading, just one month after the company's public debut. The strong interest from investors suggests confidence in the company's potential.

ENDRA Life Sciences (NASDAQ:NDRA) stock is rebounding, surging more than 63% after a decline yesterday following an $8 million stock offering. The recovery indicates that investors are still bullish on the company's prospects despite the recent offering.

WalkMe (NASDAQ:WKME) shares are gaining over 43% following the announcement of a $1.5 billion takeover deal. The acquisition offer has sparked investor interest in the company.

Concord Medical Services (NYSE:CCM) stock is rising more than 33%, accompanied by strong early morning trading volume. The increased activity suggests positive sentiment surrounding the company.

Moving iMage Technologies (NYSEMKT:MITQ) shares are up over 25% after the company was granted a new contract. The deal has boosted investor confidence in the company's future performance.

Jayud Global Logistics (NASDAQ:JYD) stock is heading more than 22% higher alongside heavy trading this morning. The increased volume and price movement indicate investor interest in the company.

U Power (NASDAQ:UCAR) shares are climbing over 20% following the announcement of a deal with the Portuguese National Taxi Association. The partnership has investors optimistic about the company's growth opportunities.

Stitch Fix (NASDAQ:SFIX) stock is jumping more than 16% after the company reported better-than-expected revenue in its fiscal third quarter. The strong financial results have reinforced investor confidence in the company's performance.

Calidi Biotherapeutics (NYSEMKT:CLDI) shares are up over 14% after the company entered into a warrant exercise agreement. The agreement has generated positive sentiment among investors.

*Stocks.News does not own any positions in companies mentioned