Last time it was FDA 510(k) clearance to market Vasomedical-BIOXTM Model 2301, now Vasomedical Inc.(PINK:VASO) is ready to present another two products with FDA clearance at hand. Good news back then, good news now. Yet to see if the market would react in the same way as in April. 
Yesterday’s session is a good example. The day before that, the company released information about its two products that got FDA clearance to be marketed in the country. Since the press release came out late, it was the Thursday session to feel the effect. And there was some movement, but mostly in terms of trading volume. Yesterday, the trading volume went up to 166k shares, yet with mere 5% increase in the stock price the session closed at $0.47 per share. Much like back in April, positive news at hand did not make up for great performance.
In fact, ever since April VASO stock price has experienced a slow and steady decline. As it seems, it is not announcements that could reverse the negative trend. An objective catalyst for growth that would inspire positive development on the stock market could be the real outcome of these press releases, namely – sales. After all, clearance for marketing and selling a product is not the same as revenues. For example, here is what the latest 10-Q statement with an end-date Feb. 28th includes: [BANNER]
- $2 million in cash;
- $19 million in total current assets;
- $16 million in total current liabilities;
- $52 million in accumulated deficit;
- $571k in revenues;
- $340k in net income;
The last figure is of particular importance. Data for previous quarters indicates losses, yet these three months in question are optimistic. Whether real sustainable growth in revenues could be achieved, however, is another matter entirely.
