Entering into a new business direction, Genesis Electronics Group, Inc. (OTC: GEGI) is gaining investors’ interest as one of the cheap stocks to buy now ahead of its upcoming merger. With investors anticipating the company’s merger into the autonomous vehicle industry, GEGI stock could be poised to reach a new 52-week high on announcing the deal. With this in mind, GEGI has been active with shareholders over the past few weeks – leading to speculations that the deal could be around the corner. Meanwhile, GEGI stock is currently running after the company announced a significant share reduction. As the company is showing interest in protecting shareholders’ value, many investors are confident GEGI could be one of the best cheap stocks to buy now.
GEGI Stock News
Originally founded as a pet food manufacturer, GEGI shared a new business plan with its shareholders highlighting its pivot towards the lucrative autonomous technology sector. To facilitate this change, GEGI is currently exploring acquisition and license agreement opportunities with companies operating in this industry. As autonomous technology has been constantly advancing over the past 10 years, GEGI’s CEO Braden Jones is confident “many industries can be disrupted if these technologies were applied to them”. With this in mind, GEGI is putting together an experienced team of advisors and partners to introduce the company to potential acquisition or licensing agreement candidates.
As part of this business change, GEGI launched a new website to provide more information regarding its new business for its shareholders and the company plans on updating this website regularly as the company’s business develops. On top of that, GEGI promised its shareholders more updates once its change of control is finalized with the OTC Markets which could happen very soon since GEGI has already filed the required paperwork. Considering this sector’s potential, GEGI could be one of the best cheap stocks to buy now ahead of these catalysts.
According to its newly launched website, GEGI appears focused on autonomous transportation, autonomous security, and AI. With the transportation industry looking for revolutionary solutions, many companies are focused on developing autonomous cars and trucks. By pivoting its business focus towards autonomous solutions for this industry, GEGI could be poised to capitalize on this untapped and underserved market if it is able to develop technologies that solve the current logistics and transportation problems.
Developing autonomous solutions in the security sector could not only significantly improve current security solutions but offer them at a much lower cost. Adding these solutions to current security teams will help increase efficiencies and lower costs substantially. Due to this new business direction, it is pivotal for GEGI to have robust AI software which is why GEGI intends to license or acquire AI and machine learning autonomous solutions to leverage them in many applications. Given the scale of this business plan, GEGI is emerging as one of the cheap stocks to buy now as there is is a real need for this technology and the market is ready for the innovative solutions which GEGI may develop.
On that note, many investors are speculating GEGI could be ready to announce an acquisition with the Australian AI and digital learning company – Apiom Inc. which is also known as Go1. Go1 is a provider of curated online learning materials and tools for businesses using playlists containing content from several publishers. Through its platform, Go1 offers AI based analytics to see how well the content is used and offer personalized materials as well.
Speculations of a possible acquisition began when some investors noticed that the Australian company filed a form D using the same address as GEGI. Acquiring this AI system could position GEGI for success as it pursues this new business direction and if these theories prove true then GEGI could be one of the best cheap stocks to buy now ahead of this potential acquisition announcement.
However, Apiom Inc. has already raised $200 million through a Series D and the company’s CEO Andrew Barnes believes Go1 could be valued at more than $1 billion. While GEGI does not have the funds to finalize this deal, the company is now able to use its shares to support its growth efforts.
In the past the company had a court order preventing it from issuing shares but GEGI was able to dissolve this after a private investor along with the company stepped in to negotiate with a former debtor to settle their dispute. Now, GEGI could issue shares to close an acquisition with a company with AI assets like Apiom.
This seems in line with the company’s new direction under its CEO and Chairman – Braden Jones – who recently joined GEGI’s management. Jones owned and operated a trucking and transportation company but has also worked in the logistics and transportation industry for over 15 years. Since he was appointed, Jones has been “assembling a highly-qualified team of advisors and partners that are making introductions to companies that could be good candidates for acquisition or licensing agreements”. With this in mind, many investors are bullish that GEGI’s upcoming announcement will help accelerate the company’s growth.
*Updated August 22nd
Looking to position itself as a leader in its new business direction upon finalizing a merger, GEGI added Kevin Damoa as a strategic advisor to the board. This appointment allows GEGI to capitalize on Damoa’s vast experience in aviation and aerospace, electrification, e-mobility, as well as defense industries. Through this experience, Damoa held leadership roles at early startups and well-established major companies like SpaceX, Northrop Grumman, Romeo Power Technology, and XOS Trucks. With this in mind, Damoa’s previous role as vice president at XOS has led to speculations among investors that XOS could be on track to merge with GEGI considering their similar business direction. While these talks remain speculation, GEGI could be one of the best cheap stocks to buy now if the company merges with a company like XOS.
Considering Damoa’s experience and networks in the industry, adding someone of his caliber could assist GEGI in exploring opportunities for mergers, acquisitions, or technology licensing. In this way, GEGI could accelerate its plans to start operating in its new lucrative business direction. Given that the autonomous vehicles market is witnessing increased interest at the moment, GEGI could be one of the cheap stocks to buy now before this industry explodes in the future.
In addition to Damoa’s appointment, GEGI added two former consultants from KPMG and PWC to ensure compliance with the market. These new consultants will be paid in stock as a compensation for their services which is a bullish sign of their trust in the company’s direction in the future. In light of this, GEGI could be one of the cheap stocks to buy now in anticipation of the roll out of its upcoming catalysts.
Meanwhile, GEGI has been more active with shareholders lately and shared several updates with shareholders which show the potential of the company’s upcoming deal. With this in mind, Jones recently announced that he will communicate directly with shareholders through GEGI’s Twitter account and promised to share developments soon. As the upcoming merger or acquisition appears to be around the corner, GEGI could be one of cheap stocks to buy now before exploding on more updates.
*Updated September 8th
Continuing to add experienced advisors to its board, GEGI appointed Kasey Evans as a strategic advisor to its board. Throughout his career, Evans has worked closely with some major players in the industry like XOS Trucks, Einride, Serial 1, and Vanderhall. In addition, Evans is vastly experienced in the trucking and transportation industry as he previously held leadership roles at PACCAR, Pilot Thomas Logistics, and Autocar Trucks.
At the same time, Evans is an experienced investor in mobility innovation companies and has experience from working with venture capital firms. Through this experience, Evans could add significant help to GEGI in negotiations, mergers and acquisitions, finance, as well as asset management. With the company constantly adding seasoned industry veterans to its board, GEGI could be one of the cheap stocks to buy now as its merger could be unprecedented in the OTC.
Recently, GEGI shared its intention to increase its AS in the near future in preparation for a potential merger opportunity. While raising the AS could impact shareholders’ value, GEGI grabbed investors’ attention after announcing a 500 million share reduction. To facilitate this share reduction, GEGI negotiated with 2 of its largest shareholders to convert the 500 million shares into series B preferred shares – reducing GEGI’s OS by 500 million shares. By converting these shares, GEGI could utilize these freed up shares to pursue near-term financing opportunities and repay some of its debt.
Meanwhile, the converted shares are subject to conversion limitations that make these shareholders tied to the company’s long-term success. As a result, there would be minimal dilution risk faced by GEGI’s shareholders. With the company working to add value to its shareholders, GEGI could be one of the best cheap stocks to buy now and hold for the long-term.
Media Sentiment
@ChairmanOtc remains bullish on GEGI’s future prospects even after the issuance of 5 million shares.
@Yenom99 expects GEGI to soar if it rebounds from its dip.
Technical Analysis
GEGI stock is currently trading at $.0095 and has supports at .0087, .0066, .0042, and .0031. The stock also shows resistances near .0161 and .0210. After the company announced its share reduction, GEGI ran by as much as 31% as the company reduced nearly 25% of its OS. However, the stock dropped and retested its support after the company issued 5 million shares – filling the gap on the chart. As the stock is trading near its support, bullish investors could add to their positions at the current PPS as any catalyst could send the stock past $.016.
In the meantime, accumulation is witnessing a downtick which could be attributed to investors taking profit or selling on the issuance of 5 million shares and the MACD is bearish. Meanwhile, GEGI is oversold at the moment with the RSI at 34. In light of these indicators, investors could add shares at the current PPS as the stock has the potential to climb on any catalyst. GEGI has an OS of 1.9 billion and a float of 1 billion, however, these numbers do not reflect the 500 million OS reduction.
GEGI Stock Forecast
With the company entering the autonomous technology sector, GEGI could be one of the cheap stocks to buy now as this industry is expected to grow to more than $2 trillion by 2030. With this in mind, GEGI could be close to announcing its venture into this lucrative industry as it is constantly adding well-renowned industry veterans like Damoa and Evans as advisors to its board. With the company planning to increase its AS soon for a potential merger opportunity, many investors are speculating an announcement could be imminent. Meanwhile, GEGI is proving to be one of the best cheap stocks to buy now after reducing its OS by 500 million shares. By focusing on protecting shareholders’ value, many investors are bullish GEGI stock could be one to hold onto for the long-term. Although the stock dropped after the company issued 5 million shares, the increase in OS is minimal which could have little effect on current shareholders. In light of this, GEGI could be a bargain at its current PPS as it could soar on any catalyst.
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