Why does ASNS have an estimated 117% gain

Actelis Networks (ASNS) is experiencing an estimated 117% gain due to several key factors:

1. New Contracts with Military Bases: ASNS recently announced a new contract with three U.S. military bases to provide cyber-hardened networking technology. This is a significant development as it follows the company's certifications and placement on the Department of Defense Information Network’s approved products list earlier in the year. The high level of data protection offered by ASNS's products is a strong fit for military applications, and the contract represents a substantial new revenue stream for the company.
2. Acquisition of Quality Industrial Corporation: ASNS has signed a binding term sheet to acquire between 61% to 75% of the issued and outstanding shares of Quality Industrial Corporation (QIND), which is based in the United Arab Emirates and has a strong presence in the critical infrastructure industrial and energy sectors. The acquisition is expected to bring substantial growth to ASNS, as QIND reported $11 million in revenue and $1.8 million in net income in 2023, with projections of further growth in 2024.
3. Exercise of Warrants: ASNS announced the closing of the exercise of certain outstanding warrants, which resulted in the issuance of up to 999,670 shares of common stock. The gross proceeds from this exercise were approximately $3 million, which will contribute to general corporate purposes.
4. Strategic Shift to IoT Sales: ASNS has been shifting its focus to IoT sales, which has resulted in a proportional increase of IoT sales to 77% of annual sales. While this strategic shift has led to a decline in overall revenue, it is expected to improve the company's financial performance in the coming years.

These factors collectively indicate a strong growth trajectory for ASNS, which is reflected in the estimated 117% gain. The company's strategic initiatives, such as the acquisition of QIND and the expansion into IoT, are expected to drive future growth and contribute to the positive outlook for the stock.