Differentiated Micro Cap Neo Clouds do Exist

But are they worth investing in while we have entered a NEO Cloud bear market? I explore a "new name".

While markets are in a bear correction on the high-growth Neo Clouds segment at the moment, I’m still exploring the less well-known ones. As you know, I have a special interest in micro cap companies in high-growth areas. Separate from today’s article, I’m also exploring the Space-tech industry as SpaceX’s correction is meaning a lot of fairly diversified Space names are approaching better valuations (I’ll update this soon).

The Neo Cloud growth and correction has been volatile to say the least in recent weeks. The name I’m exploring today calls itself a distributed “AI cloud platform that delivers accelerated access to high-performance GPU compute with a inference-first, demand-led deployment model across a network of data center sites.” Many Neo Clouds have their roots in Bitcoin mining or the blockchain hype of years past and this is no different.

The company originated in 2019 as a data-center and power infrastructure business with roots in crypto/blockchain hosting, then evolved through acquisitions and a strategic pivot into AI GPU cloud infrastructure (“neocloud”). It’s a very small ARR number but it’s growing well over 50. This is destined to be a penny stock, but one of the more interesting ones.

This is a name I’d adding on my watchlist and would not buy today as it’s relatively new to public markets, and the macro environment has turned bearish. However once it reaches a buy range I’m comfortable with, it’s a strong candidate to be a long-hold for me.

Neither is it a name that is likely to get much coverage. So here’ goes: