Why Aeva Technologies Inc. Common Stock (AEVA) Surged On Thursday?

We recently published a list of 10 Micro-, Small-Cap Firms Dominate Thursday’s Gains. In this article, we are going to take a look at where ABC stands against other micro-, small-cap firms that dominate Thursday’s gains.

The stock market edged lower on Thursday, erasing gains from the previous trading day that was buoyed by the Federal Reserve’s decision to keep rates unchanged.

The tech-heavy Nasdaq decreased by 0.33 percent, the S&P 500 declined by 0.22 percent, and the Dow Jones dipped by 0.03 percent.

On Thursday, investors immediately booked profits following the lack of fresh catalysts to further boost buying appetite.

However, 10 companies under the micro- to small-cap sectors noticeably defied market pessimism, having surged by double to triple digits. In this article, we have identified Thursday’s 10 best performers and detailed the reasons behind their gains.

We classify micro-cap companies as those between $50 million and $300 million in market capitalization, while small-cap firms are those with $300 million and $2 billion in market capitalization.

A close-up of a LiDAR-on-chip sensor mounted in a consumer-grade electronic device.

Aeva Technologies Inc. Common Stock (NASDAQ:AEVA)

Aeva Technologies grew its share prices by 34.73 percent on Thursday to finish at $4.19 each as investors took heart from a flurry of positive developments surrounding the company.

On Thursday, Morgan Stanley raised its stock price target for AEVA to $5.22 apiece, representing a 24.5-percent upside from its latest closing price. It also maintained its equal weight rating on the stock.

Morgan Stanley’s rating followed the release of AEVA’s earnings performance in the fourth quarter, where it achieved a 69-percent jump in fourth-quarter revenues to $2.7 million from the $1.6 million registered in the same period a year earlier.

Meanwhile, full-year revenues more than doubled to $9.1 million from $4.3 million in 2023.

Looking ahead, the impressive revenue performance bolstered the company’s outlook for the year, with the firm expecting revenues to settle between the $15 million and $18 million level for the full year, or growth of approximately 70 percent to 100 percent of the actual figures year-on-year.

Overall, AEVA ranks 10th on our list of micro-, small-cap firms that dominate Thursday’s gains. While we acknowledge the potential of AEVA as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is as promising as AEVA but trades at less than 5 times its earnings, check out our report about the cheapest AI stock.

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Disclosure: None. This article is originally published at Insider Monkey.