TLDR

Microcloud Hologram Inc.'s stock rose 1100% today. $HOLO filed a 6-K with the SEC on Jan 30, 2024 reporting on the Emergency General Meeting held on Jan 24, 2024 which allows for a 10:1 reverse stock split and authorization of 450 million new shares after the split, potentially dilluting investors by more than 90%. HDH-GPT was launched last year, today. $HOLO plans to join the Communications Industry Association. Microcloud Hologram Inc's last 10-Q was filed 11 months ago.

Note to readers and investors: This is NOT an investment advice. Stock investments are subject to market risks. Please consult your financial advisor before making any investment decisions.

MicroCloud Hologram Stock Soars 1100% Today

MicroCloud Hologram Inc. (NASDAQ: HOLO) stock witnessed a remarkable 1100% surge today with more than 100 millions units trading intraday. The meteoric rise was propelled by the announcement of the strategic decision to join the Communications Industry Association (CIA).

The company disclosed its strategic decision to join the Communications Industry Association (CIA), signaling a commitment to collaborative advancements in the communications sector.

Why did MicroCloud Hologram HOLO Stock Rise Today?

MicroCloud Hologram Inc.'s stock witnessed an extraordinary surge of 1100% today, underpinned on the PR Newswire report of MicroCloud Hologram Inc joining the Communications Industry Association (CIA). Excluding the news relating the CIA, there are no new releases that could be connected with the phenomenal rally in $HOLO stock today.

MicroCloud Hologram Business, Income and Balance Sheet Highlights

MicroCloud Hologram Inc merged with the Golden Path Acquisition Corporation (GPAC) SPAC in September 2022 to begin publicly trading in Nasdaq under the ticker $HOLO. Following are the Income Statement and Balance Sheet Highlights of MicroCloud Hologram Inc.

MicroCloud Balance Sheet Highlights

MicroCloud Income Statement Highlights

HDH-GPT was release exactly one years ago today

Microcloud Hologram Inc. disclosed the release of HDH-GPT, an AI-hologram technology with massive potential applications exactly one year today. Investors should not be confused that we are currently in the year 2024.

Investors Be Aware: MicroCloud Hologram's recent 6-K filing with the SEC allows for reverse-stock split and further stock issue likely resulting in dillution

MicroCloud Hologram Inc. has recently disclosed the outcomes of its 2024 Extraordinary General Meeting of the Shareholders (EGM) held on January 26, 2024, at the company's Shenzhen headquarters where Shareholders approved and adopted significant proposals:

Share Consolidation Allows for 10:1 Reverse Split: Shareholders voted for an immediate consolidation, combining every ten existing ordinary shares into one Consolidated Share with a nominal value of $0.001. The authorized share capital will be altered from $50,000 divided into 500,000,000 shares of $0.0001 each to $50,000 divided into 50,000,000 shares of $0.001 each. This is a 10:1 reverse split where 10 unites of stocks will be merged to make 1 unit of stock. Since $HOLO is a member of the Nasdaq family of stocks and NASDAQ requires stocks to trade over $1, shareholders likely approved this measure.
Share Capital Increase Allows for Issuance of further 450 million shares: Following the Share Consolidation with reverse split, the authorized share capital will increase from $50,000 to $500,000, divided into 500,000,000 shares of $0.001 each, including the creation of an additional 450,000,000 shares. At current price, $HOLO can now issue 450 million new shares.

The news of $HOLO joining the Communications Industry Association and the EGM decision has likely resulted in the massive rally of MicroCloud Hologram Inc. resulting the the stock rising from $1.5 to $26.8, a 17X rise in less than 48 hours. We recommend readers to be cautious in investing in $HOLO stock. $HOLO most recent filed their quarterly report in March 2023, which is one year earlier.

Conclusion

In the wake of MicroCloud Hologram Inc.'s unprecedented stock surge today, it is crucial for investors to understand the realities: while the announcement of joining the Communications Industry Association is a positive developement, the information on HDH-GPT technology is an old news. The company's recent 6-K filing reveals a 10:1 reverse stock split and the potential issuance of 450 million new shares which could dillute existing shareholders. Investors should exercise caution and consider these transformative decisions made at the Extraordinary General Meeting, as they may impact the stock dynamics significantly. The surge in MicroCloud Hologram Inc.'s stock is undoubtedly noteworthy, but with the potential for increased volatility and dilution, investors are advised to approach with careful consideration before making any decisions.

Note to readers and investors: This is NOT investment advice. Stock investments carry inherent risks, and thorough due diligence is recommended. Consultation with a financial advisor is advised before making any investment decisions.

We do not have any positions in Microcloud Hologram Inc. $HOLO Stock. This article is for research and awareness purpose only. Reader discretion is advised.