When a stock gets a favourable rating from analysts then it almost always leads to gains in the stock and that is what seemed to have happened with the Asensus Surgical (NYSEAMERICAN:ASXC) stock on Wednesday.
The stock is back in favour among many penny stocks investors and yesterday it clocked gains of as much as 23%. The firm H.C. Wainwright started covering the stock and gave the stock a buy rating. In this regard, it should be noted that the latest rating was done not even two weeks after the company announced its financial results for the first quarter.
In the three month period ended on March 31, 2021, Asensus managed to generate revenues of as much as $2.1 million, which was a considerable jump from the $600000 it generated in revenues in the prior year period.
It should also be noted that as much as $1.3 million out of the total revenue was generated through the sales of Asensus Surgical’s Senhance Surgical System. Hence, the latest bullish sentiment from the analysts at H.C. Wainwright has not come as a complete surprise. It is now going to be interesting to see if the Asensus stock can continue to hold on to the momentum that it has managed to gain this week.
The company has become an important player in surgical instruments space and has developed devices that provide greater control as well as minimum variability. Asensus aims to combine the powers of machine learning and automated intelligence in order to improve the outcomes from surgeries.
Moreover, it is also necessary to point out that for more than a year, the stock has had a remarkable run. After hovering around the 33 cents market around a year ago, the stock soared to 63 cents by the end of 2020. At the beginning of 2021, the Asensus stock had another remarkable rally and touched $6.95 in February. It corrected after that but now the stock seems to be readying for another run.
