Get all your news in one place.
100’s of premium titles.
One app.
Start reading
Barchart
Barchart
Ruchi Gupta

After Key Hyperscaler Wins, How High Can This AI Penny Stock Soar?

Rezolve AI (RZLV) is a little-known company that offers generative artificial intelligence (AI) solutions for information technology (IT) and human resources (HR) functions. According to its website, it aims to “augment” human workers and increase IT efficiency. Trading below $3.50, it is solidly in penny stock territory. 

Its shares have spiked more than 60% in the last five trading days as investors and analysts react to deals the company has inked with Google (GOOGL) and Microsoft (MSFT). Roth MKM initiated coverage of the stock with a “Buy” rating and a target of $4.

Roth MKM believes its recent deals with Google and Microsoft will boost the company and highlight its role as a major player in conversational commerce – the practice of businesses using chatbots to engage with customers. Analysts also praise Rezolve’s 300-billion parameter large language model (LLM) as a game-changer, noting that it outperforms OpenAI’s GPT-4 model for retail use.

The deals will see Microsoft sending 10 leads per month to Rezolve while committing $130 million in sales, while Google could account for up to 50% of Rezolve’s commerce revenue. 

Lastly, despite its early stage risks, the analyst notes that the company has shown positive growth signs while securing a $1 million annual recurring revenue (ARR) deal alongside running more than 120 active pilot programs. Roth MKM believes the company can reach breakeven by the third quarter of 2025.

About RZLV Stock

Established in 2007, Rezolve AI is located in the United Kingdom. It has a relatively new life in the public market, coming public via a reverse merger in August 2024

www.barchart.com

Shares have experienced volatility since. Although they are up 60% over the last five days, they are down more than 50% over the past three months

How High Can RZLV Go?

As the stock gains momentum, it receives a unanimous “Strong Buy” rating from three analysts who have initiated coverage this month.

www.barchart.com

The stock's mean price target of $4.50 reflects upside of 38% from current prices, while the street-high target of $5 signifies potential upside of 54%.

Sign up to read this article
Read news from 100’s of titles, curated specifically for you.
Already a member? Sign in here
Related Stories
Top stories on inkl right now
One subscription that gives you access to news from hundreds of sites
Already a member? Sign in here
Our Picks
Fourteen days free
Download the app
One app. One membership.
100+ trusted global sources.