One of today’s biggest market movers is a little-known penny stock that is experiencing astronomical gains. MultiMetaVerse (NASDAQ:MMV) has surged more than 125% in just a few hours of trading. After spending month after month gradually trending downward, this entertainment stock certainly needed a catalyst. Unfortunately, it hasn’t gotten one today, as there is no company-specific news pushing MMV stock up.
Rather, this sudden surge is likely due to meme stock momentum. As InvestorPlace writer William White reports:
“[Investors] will note that MMV is experiencing heavy trading on Monday morning. This has more than 9.9 million shares of the stock changing hands as of this writing. That’s well above its daily average trading volume of about 69,000 shares. It’s also worth mentioning that MMV’s float is about 7.34 million shares.”
This raises a few questions. Is MMV the newest meme stock sensation? And if so, for how long can this momentum continue? This warrants a closer look at the company that is receiving so much attention today.
MMV Stock: What to Know
- For the last month, MMV stock has remained almost stagnant, mostly hovering between 50 and 60 cents per share.
- As its name suggests, MultiVerseMedia is an entertainment and animation company. It describes itself as “building an open, immersive, and multi-experienced entertainment world with high-quality original contents and a wide range of professional user generated content.”
- Founded in 2015, the company is based in China. CEO Alex Xu has years of experience in the animation and gaming industries.
- MultiVerseMedia’s primary business consists of two entities: large-scale animation and gaming platform 7Doc and Huizhiren, which mostly serves animation studios and video game developers.
- The company recently announced plans to acquire Bowong AI, a company that is helping bring AI into e-commerce and content creation.
- MMV stock was listed on the Nasdaq on Jan. 5, 2023. It went public through a special purpose acquisition company (SPAC) merger with Model Performance Acquisition Corp.
- The company hasn’t traded above the penny stock line since its initial public offering (IPO). On Jan. 6, 2023, it plunged and has never come close to reaching its early levels.
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, Samuel O’Brient did not hold (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.
