February may seem like centuries ago Omed comedy (NYSEMKT: ZOM) shareholders: Just six months ago, the shares of the veterinary health company had increased by more than 1000% since the beginning of the year. That’s easy. In six weeks, omed comedy became a 10-carrier.
The euphoria did not last long. Health resources began to plummet. Despite a few jumps along the way, Z comedy stock prices are now more than 80% lower than their peak earlier this year.
What happened? That’s why Zomedica’s stock has lost its luster.
It didn’t take long for CEO Robert Cohen to find fault with Zomedica’s difficulties in the company’s second-quarter update. In fact, Cohen pointed out two issues, both of which concerned omed comedy partners.
He noted that there was a delay in accelerating the commercial launch of Zomedica’s Truforma point-of-sale care systems, in part due to “unexpected sales from our distribution partner”. Acquired the distribution partner, Miller Veterinary Supply Patterson Companies: earlier this year.
This acquisition prompted Zomedica to change its sales strategy. In April, the company announced plans to expand its direct sales team and gradually discontinue the use of a third-party distributor.
Cohen blamed the unfortunate comedy for the delay in completing the fT4 և ACTH analysis for Truforma. Qorvo Biotechnologies is developing these analyzes. Omed comedian believes that the sale of Truforma was damaged by delays. “We expect Truforma to be difficult to market until our fT4 և ACTH analysis is available for commercial release.”
It is debatable to what extent the current և former partners of omed comedy are responsible for this year’s poor financial performance of the company. However, there is no doubt that this performance was inconsolable.
In the second quarter of 2021, Zomedica sold only $ 15,693. The company’s sales in the first quarter amounted to $ 14,124. That is not much progress.
Meanwhile, the company continues to lose large sums of money. Omed Comedy reported a net loss of $ 4.7 million in the second quarter. That result was even worse than the $ 4 million loss in the first quarter.
Omed comedy has at least a relatively stable cash position. The Company is accountable for the total amount of cash and cash equivalents of approximately $ 276 million as of June 30, 2021.
But even that positive article comes with negative compromises. Zomedica’s cash reserves were boosted earlier this year by the sale of more than 91 million shares. The deal further weakened the value of the existing shares, causing Zomedica shares to fall more than otherwise.
Can Zomedica increase it again?
Despite the challenges of omed comedy, investors have not thrown down the gauntlet. Zomedica is still in the top 50 most popular Robinhood: shares: And there is reason to believe that at some point in the future, omed comedians may simply grow again.
Cohen noted that Zomedica has launched a new program that allows customers to get Truforma tools if they agree to buy analysis cartridges. He said that in less than a month, the company signed 41 placement contracts, installing 25 Truforma systems under this program.
This seems like a smart move for Zomedica until the fT4 analysis is ready, which should not take too long. The company expects fT4 analysis to be available this fall. The ACTH analysis should be ready by the end of the year.
Zomedica is also exploring opportunities to expand its product line. Cohen said the company has explored a number of possible deals that could add value to its veterinary clients.
There is no question that Zomedica remains a risky stock. However, the future of the company may be brighter than its past and present.
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