- NYSEAMERICAN:ZOM fell 14.07% on Tuesday despite broader markets hitting new all-time highs once again.
- ZOM’s stock offering valued at $1.90 per share by its underwriter.
- ZOM is set to launch its Truforma software platform in veterinary offices in March.
NYSEAMERICAN:ZOM has been on the radar lately as one of the meme stocks that was caught up in the r/WallStreetBets saga that momentarily took over Wall Street. Since the beginning of 2021, Zomedica stock is up over 700% and over 1200% during the past 52-weeks. Of course, these multiples grow larger with penny stocks, but the recent surge is still impressive for a company that has accomplished very little since it began trading in 2016. On Tuesday, Zomedica shares plunged by 14.07% to close the trading session at $2.32.
The catalyst behind the drop in price was Zomedica’s recent stock offering, a common practice by companies who experience a spike in the share price. The underwriter behind Zomedica’s offering valued the veterinary software firm’s shares at $1.90, which represented a 30% decrease from the opening price of $2.70. Long-term investors may be more optimistic though as Zomedica attempts to disrupt a pet healthcare industry that is estimated to be valued at nearly $3 billion by 2024. Stock offerings raise capital that can be used by the company to fund projects and pay down debt.
ZOM stock forecast
Zomedica is preparing to release its Truforma diagnostic platform across the United States in March. Truforma is designed to perform multiple assay tests on cats and dogs, specifically to diagnose and treat adrenal and thyroid gland issues. The best part about Truforma is it enables veterinarians to keep results in-house, rather than sending them away to external labs which takes time and money to accomplish.