NEW YORK (TheStreet) -- Shares of InterCloud Systems (ICLD) were gaining 17.6% to $3.14 on heavy trading volume Monday after the information technology and network solutions company announced the launch of its new NFVGrid, a Network Functions Virtualization Orchestration platform.
The company's new network-as-a-service platform uses open APIs to ensure its interoperability with different OSS/BSS platforms, cloud management systems, SDN controllers, and virtualized network function managers.
"Our NaaS offering, powered by NFVGrid is a major breakthrough for our Company," CEO Mark Munro said. "Infonetics forecasts the carrier SDN and NFV market to reach $11 Billion by 2018. We have positioned InterCloud to be a competitive force in the emerging growth of Next-Generation IT and telecom networks."
About 15.4 million shares of InterCloud were traded by 11:28 a.m. Monday, well above the company's average trading volume of about 429,000 shares a day.
TheStreet Ratings team rates INTERCLOUD SYSTEMS INC as a Sell with a ratings score of D-. TheStreet Ratings Team has this to say about their recommendation:
"We rate INTERCLOUD SYSTEMS INC (ICLD) a SELL. This is driven by a number of negative factors, which we believe should have a greater impact than any strengths, and could make it more difficult for investors to achieve positive results compared to most of the stocks we cover. The company's weaknesses can be seen in multiple areas, such as its poor profit margins, weak operating cash flow, generally disappointing historical performance in the stock itself and generally high debt management risk."