Shares of AI-powered advertising technology provider Inuvo gain after loan announcement
Quotes on shares of Inuvo, a provider of AI-driven advertising technology, rose almost 3.5% on Thursday, August 1, following the announcement of a new $10 million credit line.
Details
Inuvo stock added 3.45% to $0.32 per share during trading in New York on Thursday. It has lost 26% so far this year but is still up, by the same amount, over the last 12 months.
On Wednesday, July 31, Inuvo announced that it had secured a new $10 million asset-based credit facility, which provides enhanced liquidity and the financial flexibility to accelerate the adoption of its large-language generative AI, as the press release stated. The company describes this AI as the only solution of its kind for audience discovery and targeting that does not require the tracking of consumers around the internet.
About Inuvo
Inuvo is the developer of IntentKey, a generative AI platform based on a large language model. The company claims that IntentKey can target audiences without using cookies, focusing on “why” rather than “who.” As such, the platform does not use confidential data, increasingly regulated by governments, which is forcing market players to rethink their policies.
“As the advertising industry evolves around privacy concerns and regulatory pressures, Inuvo is uniquely positioned in their ability to target relevant audiences without relying on cookies or consumer data,” Ashvin Viswanathan, vice president at SLR Digital Finance, Inuvo’s lender, was quoted as saying in the press release.
Inuvo noted that Apple eliminated third-party cookies in 2020 and gave users the option to opt out of tracking in 2021, with 90% saying “no.” Google is now planning to offer a similar option.
In 2021, consumers demonstrated that they do not want to be tracked, says Inuvo CEO Rich Howe. “There is strong evidence that the choice Google gives consumers will accelerate the cookies’ demise,” he believes.
Analyst insights
According to MarketWatch, three analysts cover Inuvo. They recommend buying the stock, with an average target price of $0.95 per share, indicating almost 200% upside to the closing price on August 1.
