Zomedica (ZOM) Stock May Get Attention After The Recent Sell-Off

At this point, the stock is trading at less than $1 a share and investors might be interested in seeing if the stock can go past that level again.

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Over the course of the year so far, the Zomedica (NYSEAMERICAN:ZOM) stock has had a rollercoaster run so far this year. At this point, the stock is trading at less than $1 a share and investors might be interested in seeing if the stock can go past that level again.

In this situation, it might be necessary for investors to take a closer look at the company and its business. The company currently boasts of one major product, the Truforma diagnostic platform for cats and dogs, which was launched in March this year. Experts believe that Zomedica, like many other penny stocks remains a speculative play; however, there are certain compelling arguments to be made regarding the stock.

It was not too long ago that the Zomedica stock was trading at $2 a share and before it can retrace its way to those levels, the company perhaps needs to ensure that it continues to grow its sales. It is sometimes possible for companies to grow if they can concentrate wholeheartedly on one thing and in case of Zomedica it is its sales.

It goes without saying that such a strategy can and often does lead to losses. However, at the same time the company is going to get the advantages that come with economies of scale.

When that happens, Zomedica will then be able to come up with other diagnostic products which will go a long way in building an entirely new ecosystem and eventually turn the company into a major player in the animal healthcare industry.

That will then turn the company from depending on the sales of its solitary product; Truforma and help in bringing about long-term growth. Zomedica has already started working on boosting its sales in a big way and recently decided to speed up the establishment of a direct sales model. These are important factors that could help the company in generating meaningful growth in the long term.