Catalyst Biosciences Inc (NASDAQ:CBIO) shares have come off their early morning high of $9.00, bounced off $5.50 level and now trading above $6 handle.

Catalyst Biosciences Inc (NASDAQ:CBIO) Sees Morning Volatility

Catalyst Biosciences Inc (NASDAQ:CBIO)

Catalyst Biosciences Inc (NASDAQ:CBIO) shares have come off their early morning high of $9.00, bounced off the 45.50 level and are now trading above the $6 handle. Volume, as of 10 AM EST, is already at 1.2 million shares. CBIO shares have a listed daily average of just over 271,000. The company has released no news, or made any filings, that could account for the morning’s volatility.

Catalyst Biosciences Inc (NASDAQ:CBIO)

Catalyst Biosciences Inc. (NASDAQ:CBIO) is a clinical-stage biopharmaceutical company focused on developing novel medicines to address hematology indications. Catalyst is focused on the field of hemostasis, including the subcutaneous prophylaxis of hemophilia and facilitating surgery in individuals with hemophilia. Catalyst’s most advanced program is a potent next-generation coagulation Factor VIIa variant, marzeptacog alfa (activated), that has successfully completed an intravenous Phase 1 clinical trial in individuals with severe hemophilia A or B.

CBIO Stock

In February, Catalyst Biosciences Inc. (NASDAQ:CBIO) underwent a reverse stock split to stay in compliance with NASDAQ rules regarding low priced stock. Dilution has been an issue for shareholders of CBIO. In 2013, there were 20,000 shares outstanding. By the end of 2016 that number had ballooned to 780,000.

Sales have also been going in the wrong direction. In 2012 Catalyst reported sales of $57.9 million. However, that figure was just $400,000 for FY 2016. On a diluted adjusted basis, EPS loss for 2013 was -$409.30. That loss shrank steadily and the EPS loss for CBIO was -$21.75 for 2016.

Of particular note is that the company reports a cash per share value of $6.35. Shares are trading around that level this morning. Analysts have given CBIO shares a rating of “Strong Buy”. Their consensus, one-year price target is $12.33.

I have no positions in any of the stocks mentioned, and have no plans to initiate any positions within the next 72 hours. All information, including any data, is provided without any guarantees of accuracy.

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About the author: James Marion is a University of Houston student studying Business with a concentration in Finance. James has interned with several investment professionals and hopes to pursue a career as a professional stock analyst after graduation.

China Advanced Constructn Mtrls Grp Inc. (NASDAQ:CADC) Market Value Almost Triples!

China Advanced Constructn Mtrls Grp Inc. (NASDAQ:CADC) Market Value Almost Triples!

China Advanced Constructn Mtrls Grp Inc. (NASDAQ:CADC)

China Advanced Constructn Mtrls Grp Inc. (NASDAQ:CADC) shares nearly tripled in market value after the holding company reported Q3 financial results that exceeded Wall Street expectations. Revenue for the three months ended September 30, 2017, nearly doubled as net loss dropped by two thirds.

China Advanced Constructn Mtrls Grp Inc. (NASDAQ:CADC) Market Value Almost Triples!

CADC Stock Performance

China Advanced Constructn Mtrls Grp Inc. (NASDAQ:CADC) stock is currently trading at this year’s highs and close to its 52-week high of high of $9.75 a share. The better than expected financial results appear to have strengthened investor confidence in the company, as the stock had been trading in a downtrend.

Over the past one month, the stock has performed along a premium change of 7.5%. For the past three months, the stock is up by more than 13.1%. However, it is down by 6.5% for the past six months.

The stock grabbed analysts’ attention after spiking on unusual volume. More than 19.31 million shares exchanged hands in Thursday’s trading session compared to a 3-month average volume of 0.02 million and a daily average trading volume of 15.5k shares.

China Advanced Constructn Mtrls Grp Inc. (NASDAQ:CADC) conducts its primary business through subsidiaries. The company engages in the production of construction materials for infrastructure, commercial and residential developments.

Government and industry associations have certified the company’s products. It also boasts of a leading position in the large, highly fragmented ready-mix market concrete market.

CADC Q3 Financial Results

For the three months ended September 30, 2017, the construction company reported revenues of $13.8 million, up from revenues of $7.5 million reported in the corresponding period last year. Cost of revenue surged to $12.3 million from $8.41 million. China Advanced Constructn Mtrls Grp Inc. (NASDAQ:CADC) generated a gross profit of $1.4 million compared to $952,412 reported last year.

“Our management believes that we have the ability to capture a greater share of the Beijing market via expanding relationships and networking, signing new contracts, and continually developing market-leading innovative and eco-friendly ready-mix concrete products,” China Advanced Constructn Mtrls Grp Inc. (NASDAQ:CADC) in a statement.

Net loss for the three months ended September came in at $545,590 compared to a net loss of $5.3 million reported last year. China Advanced Construction Materials exited the quarter with cash and cash equivalent of $923,882 compared to $8.2 million as of the same period last year.

China Advanced Constructn Mtrls Grp Inc. (NASDAQ:CADC) has a Return on Assets of -25.40%. Return on Investment currently stands at -20.55 which means its operations costs outweigh returns.

I have no positions in any of the stocks mentioned, and have no plans to initiate any positions within the next 72 hours. All information, including any data, is provided without any guarantees of accuracy.

Don’t miss out! Stay informed on $CADC and receive breaking news on other hot stocks by signing up for our free newsletter!

About the author: James Marion is a University of Houston student studying Business with a concentration in Finance. James has interned with several investment professionals and hopes to pursue a career as a professional stock analyst after graduation.

Egalet Corp (NASDAQ:EGLT)

Egalet Corp (NASDAQ:EGLT) Moves on Topline Trial Results

Egalet Corp (NASDAQ:EGLT)

Egalet Corp (NASDAQ:EGLT) was a big mover after announcing top-line trial results from a phase 3 safety study of its abuse-deterrent oxycodone formulation Egalet-002. Shares of the company gained 38.55% after it emerged the formulation was well tolerated, and adverse events reported were consistent with expected outcomes.

Egalet Corp (NASDAQ:EGLT)

Egalet-002 Top Line Results

According to the Chief Executive Officer, Bob Radie, the positive Phase 3 safety study results validates the company’s Guardian technology, which is being used to develop abuse-deterrent formulations of prescription medications.

Last year, Egalet Corp (NASDAQ:EGLT) reported positive top-line result from a category 3 intranasal human abuse potential study of Egalet. The formulation is currently in late-stage development for the management of pain severe enough to require daily, long-term opioid treatment for which other treatment options are inadequate.

Despite the 38% rally, Egalet Corp (NASDAQ:EGLT) continues to trade in a downtrend after underperforming the overall industry for the better part of the year. The stock has shed more than 80% in market value since the start of the year and is currently trading near all-time lows. Shares of the company closed at $1.15, last year they were trading at $5.58 a share.

Despite the underperformance, the Chief Executive Officer remains bullish about the company’s long-term prospects as they move to address the prescription abuse crisis.

“With 124% prescription growth and 41% revenue growth for our marketed products over last year’s third quarter, we continue to grow our business With a cash position of $102.1 million and the increased focus on non-narcotic and innovative treatments to alleviate pain,” said Mr. Radie

For the three months ended September 30, 2017, Egalet Corp (NASDAQ:EGLT) registered a 101% increase in Nasal Spray prescriptions over the third quarter of 2016. The company also partnered Ascend Therapeutics to begin promotion of SPRIX Nasal Spray to over 11,000 target women healthcare providers.

Egalet Q3 Financial Results

Net product sales for the third quarter came in at $6.7 million compared to $4.7 million reported last year. Cost of sales was $1.2 million up from $914,000 as of last year and reflected the average cost of inventory produced and dispensed to patients. General and Administrative expenses dropped to $6.8 million from $8 million as of the corresponding period last.

Egalet Corp (NASDAQ:EGLT) generated a net loss of (-$18.9) million in Q3 2017 or (-$0.46) a share, compared to a net loss of (-$26.9) million or (-$1.10) reported last year. The earnings exceeded Wall Street expectations as analysts were expecting a net loss of (-$0.47) cents a share. The integrated specialty pharmaceutical company exited the quarter with cash and cash equivalent of $102.1 million.

I have no positions in any of the stocks mentioned, and have no plans to initiate any positions within the next 72 hours. All information, including any data, is provided without any guarantees of accuracy.

Don’t miss out! Stay informed on $EGLT and receive breaking news on other hot stocks by signing up for our free newsletter!

About the author: Monica has an undergraduate degree in Accounting and an MBA she earned – with Honors. She has six years of experience in the financial markets and has been an analyst for the past two years.

Avid Technology, Inc. (NASDAQ:AVID)

Avid Technology, Inc. (NASDAQ:AVID) Unveils New Video-over-IP Interface

Avid Technology, Inc. (NASDAQ:AVID)

Shares of Avid Technology, Inc. (NASDAQ:AVID) gained 14.74% after the global media technology provider unveiled its latest addition to the Avid I/O family of hardware interfaces. Avid Artist DNxIP is the new Thunderbolt 3 equipped I/O device, designed to enable the transfer of SMPTE standard HD video over 10GigE IP networks.

Avid Technology, Inc. (NASDAQ:AVID)

Avid Artist DNxIP

Built in partnership with AJA and powered by MediaCentral, Avid Artist DNxIP should eliminate the challenges of managing physical resources commonly associated with legacy video routing. It should also give customers more flexibility in the way they route video within their facilities.

“DNxIP is the next evolution of our development efforts with Avid, a trusted technology partner. We’re excited to be teaming up with them again on a next-generation hardware option that meets the needs of professional IP workflows,” said Nick Rashby, President, and AJA Video Systems.

Avid Technology, Inc. (NASDAQ:AVID) has received a lot of attention due to the recent volatility of its stock. AVID stock is currently trading in an uptrend after gaining more than 40% in market value since the start of the month. For the full year, the stock is up by more than 30%.

Stellar Q3 Results

Renewed investor interest in the stock follows the announcement of better than expected third quarter financial results. Avid Technology, Inc. (NASDAQ:AVID) exceeded guidance on revenue and bookings in the recent quarter as it recorded growth in key metrics. Improvement in adjusted EBITDA drove the company to the fourth consecutive quarter of positive adjusted cash flow.

Avid Technology reported a net income of $72,000 for the third quarter as revenue came in at $105.3 million, above the upper-end of guidance. During the quarter, the company signed several multiyear deals that are expected to lead to further revenue growth in the fourth quarter.

For the fourth quarter, Avid Technology, Inc. (NASDAQ:AVID) expects bookings of between $112 million and $126 million and revenues of between $103 million and $113 million.

“The completion of the transformation in the second quarter of 2017 has positioned us to drive profitable growth, increase revenue visibility and cash flow. In the third quarter, we achieved meaningful growth across bookings, revenue excluding pre-2011 and eliminating PCS, adjusted EBITDA and adjusted free cash flow,” said CEO, Louis Hernandez.

I have no positions in any of the stocks mentioned, and have no plans to initiate any positions within the next 72 hours. All information, including any data, is provided without any guarantees of accuracy.

Don’t miss out! Stay informed on $AVID and receive breaking news on other hot stocks by signing up for our free newsletter!

About the author: Steve Clark is a 23-year Wall St professional with stints in M&A, risk management, and algorithm trading. Steve keeps his head in the game by looking for, and writing about, small companies that often get overlooked by the big investment firms.

Sorl Auto Parts, Inc. (NASDAQ:SORL) Raises Guidance after Stellar Q3

Sorl Auto Parts, Inc. (NASDAQ:SORL)

Shares of Sorl Auto Parts, Inc. (NASDAQ:SORL) gained 20.4% after the leading manufacturer and distributor of automotive brake systems reported Q3 financial results that beat Wall Street estimates. According to the Chief Executive Officer, Xiaoping Zhang, demand for the company’s products continue to increase across all three business segments.

Sorl Auto Parts, Inc. (NASDAQ:SORL)

Sorl Sales Growth

Investors reacted to the better than expected financial results by pushing the stock up the chart, after coming under pressure in recent weeks. The stock is currently trading in an uptrend with immediate resistance at $8.40, above which it could make a push for the 52-week high of $9.74 a share. For the full year, the stock is up by more than 90%.

For the three months ended September 30, 2017, Sorl Auto Parts, Inc. (NASDAQ:SORL) generated sales of $101.3 million – representing a 59% year over year growth. Revenues from international markets increased 19.1% to $19.3 million due to growing global customer base. Net sales for the first nine months of the year increased 29.6% to $72.9 million.

Gross profit in the quarter grew 44.4% to $27.3 million compared to $18.9 million reported last year. However, gross margin dropped to 26.9% from 29.7% due to higher raw materials costs and price promotion designed to increase market share.

“We are excited to report that our sales growth in all three segments accelerated during the quarter. We continue to capture market share in the Chinese commercial vehicle braking market with our new advanced products and attractive pricing,” said Mr. Zhang.

New Guidance

Net income attributed to shareholders increased 165% to $8.6 million or $0.44 a share compared to $3.2 million or $0.17 a share reported last year. Net income for the first nine months of the year nearly doubled to $21.4 million or $1.11 a share from $10.9 million or $0.57 a share reported last year.

Sorl Auto Parts, Inc. (NASDAQ:SORL) exited the third quarter with cash and cash equivalent of $7.6 million. Inventories in the quarter increased to $83.1 million from $65.8 million as of December 31, 2018.

Buoyed by the strong performance in the third quarter, Sorl Auto Parts, Inc. (NASDAQ:SORL) management has increased its full-year guidance for net sales, from $315 million to approximately $370 million. The company also expects net income of $30.5 million up from an initial guidance of $27.5 million.

I have no positions in any of the stocks mentioned, and have no plans to initiate any positions within the next 72 hours. All information, including any data, is provided without any guarantees of accuracy.

Don’t miss out! Stay informed on $SORL and receive breaking news on other hot stocks by signing up for our free newsletter!

About the author: James Marion is a University of Houston student studying Business with a concentration in Finance. James has interned with several investment professionals and hopes to pursue a career as a professional stock analyst after graduation.

Why Anthera Pharmaceuticals Inc (NASDAQ:ANTH) Jumped

Anthera Pharmaceuticals Inc (NASDAQ:ANTH)

Anthera Pharmaceuticals Inc (NASDAQ:ANTH) shares closed up 10%, and had two closing days above the $2 level for the first time since May of 2017. The catalyst for the stock’s upward momentum, on a day when markets sold off, seems to be an article authored by a CFA specializing in the biotech space. The analyst rates the shares a “Buy”.

Anthera Pharmaceuticals Inc (NASDAQ:ANTH)

Anthera Pharmaceuticals Inc (NASDAQ:ANTH) is a biopharmaceutical company that develops and commercializes therapies to treat serious diseases associated with inflammation, including enzyme replacement therapies and autoimmune diseases. Anthera has two Phase III product candidates, liprotamase also known as Sollpura and blisibimod. Sollpura is a non-porcine investigational Pancreatic Enzyme Replacement Therapy intended for the treatment of patients suffering from Exocrine Pancreatic Insufficiency, often seen in patients with cystic fibrosis.

Analysts on Anthera

Three analysts follow Anthera Pharmaceuticals Inc (NASDAQ:ANTH). One rates ANTH as a “Strong Buy”, while the other two rate the shares as a “Hold”. The analysts have a consensus, one-year price target of $2.00 on the shares – $0.31 below today’s close. For FY2017, analysts are projecting an EPS loss of (-$3.34).

ANTH Stock Performance

For the year, ANTH stock is down over 85%. However, the shares are up 45% for the past month.

In 2015, Anthera posted sales of $3.2 million but for 2016 the figure was a disappointing $100,000. Earnings have been disappointing as well. In 2012, the biotech firm reported an earnings loss of (-$50.19). The next year the loss was (-$13.52), followed in 2014 by a loss of (-$10.88), then (-$7.91) for 2015, and in 2016, the loss was (-$12.87).

There are a number of short-sellers on ANTH stock. Their short positions represent 15% of the stock’s float.

I have no positions in any of the stocks mentioned, and have no plans to initiate any positions within the next 72 hours. All information, including any data, is provided without any guarantees of accuracy.

Don’t miss out! Stay informed on $ANTH and receive breaking news on other hot stocks by signing up for our free newsletter!

About the author: James Marion is a University of Houston student studying Business with a concentration in Finance. James has interned with several investment professionals and hopes to pursue a career as a professional stock analyst after graduation.

Quest Resource Holding Corp (NASDAQ:QRHC)

Quest Resource Holding Corp (NASDAQ:QRHC) Makes Large Gains

Quest Resource Holding Corp (NASDAQ:QRHC)

Quest Resource Holding Corp (NASDAQ:QRHC) stock has gained over 70% after the waste management company released their Q3 2017 earnings report. QRHC shares gapped up to open at $1.48, then continued to rise to $2.91 before sellers stepped in. QRHC stock has been trading in a range between $1.90 and $2.10 since 10:30 AM EST. Volume is enormous. The stock normally trades about 38,000 shares per day, but with two hours left in today’s trading session, over 6.1 million shares have exchanged hands.

Quest Resource Holding Corp (NASDAQ:QRHC)

Quest Resource Q3 Financial Report

EPS for Q3 2017 was forecast by analysts at (-$0.07) and that is exactly what the company reported. Net loss improved by $1.3 million to (-$1.1) million compared with a net loss of (-$2.4) million for the third quarter of 2016. During the third quarter of 2017, operating expenses were $5.0 million, a decrease of $1.0 million, or 16%, compared with the third quarter of 2016. Adjusted EBITDA improved by $786,000 to $513,000 compared with a loss of (-$273,000) for Q3 2016.

Quest Resource Holding Corp (NASDAQ:QRHC) provides recycling and disposal services for a range of waste streams and recyclables generated by businesses. The company also operates social media and online digital platforms that contain information and instructions to recycle or properly dispose of household products and materials. Its services focuses on the waste streams and recyclables from big box, food chain, and other retailers.

QRHC Stock Performance

Year-to-date, QRHC stock is down over 50%. However, two investment forms cover Quest Resource Holding Corp (NASDAQ:QRHC) and both rate the shares as a “Strong Buy” with a consensus, one-year price target of $6.00. The stock’s 52-week low is $1.03, and its 52-week high is $3.00.

Quest Resource Holding Corp (NASDAQ:QRHC) has a market capitalization of less than $20 million but annual sales of over $175 million. Unfortunately, earnings have been challenging. In 2012 is lost (-$5.92) per share, and last year the loss was a more modest (-$0.55).

Stock dilution has been an issue for shareholders. In 2012, 7.12 million shares were outstanding. By the end of 2016, that number was 14.74 million.

I have no positions in any of the stocks mentioned, and have no plans to initiate any positions within the next 72 hours. All information, including any data, is provided without any guarantees of accuracy.

Don’t miss out! Stay informed on $QRHC and receive breaking news on other hot stocks by signing up for our free newsletter!

About the author: Steve Clark is a 23-year Wall St professional with stints in M&A, risk management, and algorithm trading. Steve keeps his head in the game by looking for, and writing about, small companies that often get overlooked by the big investment firms.

Sunshine Heart Inc (NASDAQ:CHFS) Stocks Skyrockets on SEC Filing

Sunshine Heart Inc (NASDAQ:CHFS)

Short-sellers of Sunshine Heart Inc (NASDAQ:CHFS) felt the pain today as the stock rocketed up over 500% in early afternoon trading, but have hit strong resistance at the $25 mark. While there has been no news released concerning the company, reports suggesting a catalyst for the upward move reference an SEC filing for a public offering of preferred stock and warrants.

Sunshine Heart Inc (NASDAQ:CHFS)

The filing details a potential offering of preferred shares and warrants totaling $32 million. The unit offering involves $10 million of preferred shares and $22 million of common shares that would be exercisable by the warrant holder(s). The 10,000 preferred shares would be exercisable into 2.141 million common shares of CHFS. The 22 million warrants could be converted into 4.282 million common shares of CHFS. The pricing of the public offering was not disclosed in the filing. In April, 2017, CHFS stock plunged 30% on the news of a dilutive offering of common shares.

About Sunshine Heart

A cardiac surgeon founded Eden Prarie, MN-based Sunshine Heart, Inc (NASDAQ:CHFS). Sunshine Heart is a medical device company that creates, develops, and commercializes technologies that address heart failure. The EU regulatory authorities have granted a CE Mark to their C-Pulse Heart Assist System. In the USA, the system is undergoing clinical studies to determine its safety and efficacy for the treatment of moderate to severe heart failure.

Sunshine Heart, Inc (NASDAQ:CHFS) lead product is the Aquadex FlexFlow® ultrafiltration system. The Aquadex FlexFlow system removes excess fluid from patients suffering from fluid overload who have failed diuretic therapy. Heart failure is the leading cause of fluid overload. The American Heart Association estimates that 6.5 million people in the United States, age 20 and over, had heart failure. There are an estimated 960,000 new heart failure cases annually. Annual hospitalizations for heart failure exceed 1 million in United States and Europe, and more than 90% are due to symptoms and signs of fluid overload.

CHFS Stock Developments

On October 10, 2017, Sunshine Heart, Inc (NASDAQ:CHFS) stockholders approved, later approved by the Board of Directors, a reverse 1:20 stock split. That move was in response to a notification from The NASDAQ Stock Market LLC informing Sunshine Heart that they were no longer in compliance with the minimum bid price requirement, as the bid price of shares of CHFS common stock closed below the minimum $1.00 per share threshold for 30 consecutive business days. Nasdaq also notified the company that they had 180 calendar days, or until November 28, 2017, to regain compliance.

I have no positions in any of the stocks mentioned, and have no plans to initiate any positions within the next 72 hours. All information, including any data, is provided without any guarantees of accuracy.

Don’t miss out! Stay informed on $CHFS and receive breaking news on other hot stocks by signing up for our free newsletter!

About the author: Marc has a degree in economics and a MSc. in Finance. Over his 20-year career, Marc has worked for global investment firms in Europe and the United States as an analyst, fund manager, and consultant.

CASI Pharmaceuticals Inc. (NASDAQ:CASI)

CASI Pharmaceuticals Inc. (NASDAQ:CASI) Reports Narrow Q3 Net Loss

CASI Pharmaceuticals Inc. (NASDAQ:CASI)

Shares of CASI Pharmaceuticals Inc. (NASDAQ:CASI) gained 8.37% after the biopharmaceutical company reported a narrower than expected net loss for the three and nine months ended September 30, 2017. In addition, the company was able to strengthen its balance sheet through the issuance of shares to certain investors.

CASI Pharmaceuticals Inc. (NASDAQ:CASI)

Declining Net Loss

Net loss for the third quarter came in at ($1.6) million or (-$0.03) a share, compared to a net loss of (-$1.7) million reported last year. For the first nine months of the year, CASI Pharmaceuticals net loss totaled (-$5.7) million, compared to a net loss of (-$6.8) million reported last year.

CASI Pharmaceuticals Inc. (NASDAQ:CASI) attributes the decline in net loss to a decrease in non-cash compensation expense associated with stock option issuance. Clinical expenses associated with the development of the company’s lead candidate drug ENMD-2076 were also down in the quarter.

“I am pleased with our third quarter financial results. In October, we announced a $23.8 million registered direct offering, funds raised from which will be used to advance our internal pipeline and support our business development in-license activities,” said CEO Ken K. Ren.

CASI Stock Performance

Investors reacted to the declining net loss by pushing the stock up the chart. The stock is currently trading in an uptrend as it makes a push for its 52-week high of $3.18 a share. CASI Pharmaceuticals is up by more than 100% for the year, as it continues to outperform the overall industry.

Data compiled by Zacks Investment Research indicates that the stock is currently rated as a ‘strong buy’ by one analyst firm. Analysts are forecasting a 14.71% year over year increase in earnings this year compared to last year. However, the analysts expect a -6.9% earnings growth next year.

Public Offering

Separately, China’s Food and Drug Administration has granted a priority review for CASI Pharmaceuticals Inc. (NASDAQ:CASI) clinical trial application for EVOMELA for injection. Depending on the review, the company could make a clinical trial application by the end of the year.

In September, CASI Pharmaceuticals Inc. (NASDAQ:CASI) entered into agreements with certain institutional and accredited investors for the purchase of approximately $23.8 million securities in a direct offering. The company expects net proceeds of $23.3 million that is to be used to support business development activities which includes advancing clinical trial programs.

I have no positions in any of the stocks mentioned, and have no plans to initiate any positions within the next 72 hours. All information, including any data, is provided without any guarantees of accuracy.

Don’t miss out! Stay informed on $CASI and receive breaking news on other hot stocks by signing up for our free newsletter!

About the author: Monica has an undergraduate degree in Accounting and an MBA she earned – with Honors. She has six years of experience in the financial markets and has been an analyst for the past two years.

Atossa Genetics Inc. (NASDAQ:ATOS)

Atossa Genetics Inc. (NASDAQ:ATOS) Q3 Earnings Disappoint

Atossa Genetics Inc. (NASDAQ:ATOS)

Atossa Genetics Inc. (NASDAQ:ATOS) fell 4.4% as investors reacted to the company’s third quarter financial results and corporate update. The clinical stage pharmaceutical company did not report any revenue for the three months ended September 30, 2017, as it is in the research and development phase.

Atossa Genetics Inc. (NASDAQ:ATOS)

Atossa’s Pipeline Development

Operating expenses for the quarter totaled $2.1 million and $5.6 million for the first nine months of the year. Research and development expenses in the quarter increased to $0.7 million from $0.1 million reported last year.

During the quarter, Atossa Genetics Inc. (NASDAQ:ATOS) announced preliminary results from a Phase 1 study of its lead candidate drug Endoxifen. The drug met its primary endpoint with no significant safety signal or adverse events.

Atossa Genetics is currently preparing for a Phase 2 study that will evaluate Endoxifen for the treatment of women with mammographic breast density. The study will be conducted in partnership with the Stockholm South General Hospital in Sweden.

“We are very pleased with our recent clinical progress with our Endoxifen programs. Preliminary results from our Phase 1 study show that all objectives of both our proprietary topical and oral formulations of Endoxifen have been met. We recently raised capital to support advancement of our Endoxifen,” said CEO, Steve Quay

Atossa Genetics Inc. (NASDAQ:ATOS) underperformance continued in the market following the third quarter financial results. The stock is currently languishing as it closes in on its 52-week low of $0.32 a share. The stock has shed more than 70% in market value since the start of the year. As it stands, the stock needs a new catalyst if it is to bounce back.

ATOS Public Offering Impact

Declining investor confidence in Atossa Genetics follows the pricing of a public offering of the company’s common shares at a deep discount. The move did not go well with investors. The public offering’s pricing triggered a selloff of the stock to current lows.

Atossa Genetics issued 11.5 million shares of common stock priced at $0.44 a share. The company also offered underwriters the option of purchasing an additional 1 million shares pursuant to the over-allotment option.

Gross proceeds before deduction of underwriting discounts commissions and the offering costs were approximately $5.5 million. Atossa Genetics Inc. (NASDAQ:ATOS) plans to use net proceeds from the offering for general corporate purposes.

I have no positions in any of the stocks mentioned, and have no plans to initiate any positions within the next 72 hours. All information, including any data, is provided without any guarantees of accuracy.

Don’t miss out! Stay informed on $ATOS and receive breaking news on other hot stocks by signing up for our free newsletter!

About the author: Monica has an undergraduate degree in Accounting and an MBA she earned – with Honors. She has six years of experience in the financial markets and has been an analyst for the past two years.