Monday, 1 November 2021

Best Stocks Under 10 USD: MRAI


Marpai, Inc. (NASDAQ: MRAI) is a deep learning technology company which uses its SMART Health Plan Services System to address problems characteristic of the healthcare system using a consumer-driven approach. Incorporated in January of this year, MRAI announced the pricing of its IPO on October 26th, and launched on the NASDAQ market one day later. MRAI has increased 26% since its IPO and has an innovative strategy that could make MRAI one of the best stocks under 10 dollars.

Catalysts

The company’s SMART Health Plan Services System utilizes deep learning and comprehensive data to produce proprietary models and algorithms that reduce healthcare costs for self-insured companies and their employees. The company has access to data regarding claims, electronic health records, X-rays, lab results, notes, social determinants, and provider ratings which are utilized by the Marpai SMART system to create valuable insights about each member. In this way, the company can proactively reduce health risks for its members – possibly symbolizing the future of healthcare services.

Currently the company provides services nationwide to over 65 self-insured companies and 50,000 members. The company launched with 7,187,500  common stock shares at an initial price of $4 per share with the aim of raising $25 million in gross proceeds. But some analysts feel this valuation is unearned despite the company’s acquisition of Continental Benefits in April. This acquisition brought a national healthcare payer and third-party administrator – licensed in 50 states with tens of thousands of members – under MRAI’s wing. It also has provider network agreements with Cigna and Aetna.

According to the company’s S-1 form filing, the net proceeds raised from the IPO will be dedicated to R&D efforts such as recruiting new AI scientists and data acquisition from third parties. MRAI is particularly attractive to investors given its extremely low float of only 5.47 million.

Media Sentiment

Let’s see how @PBInvesting’s calls do this week

Technical Analysis

best stocks under 10 MRAI chart

After its IPO 3 days ago, MRAI is trading at $5.74 with a resistance at 6.10. It shows an immediate support at 5.58 and a secondary support at 5.24. While it hit $6.72 pre-market, accumulation has remained relatively steady despite a dip. According to the 1 minute chart, the MACD had a bearish crossover but seems poised for a second crossover. The RSI is currently at 43.

Should You Buy?

IPO’s have become increasingly popular among investors lately which is why MRAI had such an explosive start. With the offering closed, many are expecting an influx of volume on Monday following a weekend of DD. In this case, MRAI could push off its support to a price target of $7 or even higher. With this in mind, MRAI could be a good candidate for today’s best stocks under 10 dollars.

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