Zomedica Corp (AMEX: ZOM) management believes the company will generate positive cash flow this year. A few weeks ago, an announcement by Zomedica about its soon-to-launch flagship development, an animal diagnostic platform, caught the attention of investors. Shares of the company have soared 342% since the start of the year.
Taking a look at the past, let’s analyze various developments regarding ZOM. During the past five business days, ZOM shares fell -21.54% but have grown by 526.15% in the past thirty days. The stock rose 1170.24% in the previous quarter. The stock’s total output increased 525.77% during the previous six-month period, while the overall annual output grew 230.31%.
Management of Zomedica Corp (ZOM) says it has increased its cash reserves by more than $40 million. More than $90 million of cash is now on the balance sheet of the company. Zomedica estimates that this amount will be sufficient to meet operating expenses until 2023. Furthermore, Zomedica announced that their TruForma diagnostic platform would launch on March 30th.
With the Truforma veterinary platform, veterinarians will be able to diagnose animals more effectively. The technology used consists of bulk acoustic wave (BAW) technology, regarded as the most accurate and reliable. The company can also support remote workers, which should boost sales, even in crises like COVID-19. Teleworking will have the potential to benefit companies in the long run by expanding their client base at the expense of people living in remote areas.
In the US and abroad, the Truforma platform has vast potential. Since pet owners are spending huge amounts on their pets’ treatment, the attitude towards animals is becoming more and more generous. Spending on diagnostic medicine for pets in the US is projected to rise from $1.7 billion in 2019 to $2.8 billion in 2024. A good chunk of that money could go to Zomedica Corp (ZOM).