ZOM Stock Price Increased 95.6% This Past Week: Why It Happened

By Amit Chowdhry ● Feb 7, 2021
  • The stock price of Zomedica Corp (NYSEAMERICAN: ZOM) increased by 95.6% this past week. This is why it happened.

The stock price of Zomedica Corp (NYSEAMERICAN: ZOM) — a development stage veterinary diagnostic and pharmaceutical company that engages in the discovery, development, and commercialization of pharmaceuticals for pets — increased by 95.6% this past week as it went from $0.98 per share on February 1 to $1.91 February 5. Since there was not any fundamental news from the company announced this past week, it appears that the stock price increase was coordinated through social media.

There were references to ZOM in stock trading groups on Facebook, Discord chat rooms, stock trading subreddits, Twitter hashtags, and YouTube channels throughout the week. A large percentage of ZOM shares were at a short so some investors were pushing for a short squeeze. 

It is also worth mentioning that ZOM was mentioned on the WallStreetBets Reddit group a number of times. The WallStreetBets group became known for driving up the stock price of GameStop in order to send a message to short-seller hedge funds in late January as part of a major short squeeze play. 

In early January, Zomedica appeared to receive an endorsement from Carole Baskin from the Netflix hit show “Tiger King.” It appears that someone paid to hire Baskin through the Cameo app to endorse Zomedica. Baskin was accepting video recordings that are up to a minute long for $299. 

“I don’t know if you guys have heard about Zomedica, but they help our veterinarians and our furry friends,” said Baskin in the paid video endorsement via Business Insider.

There is also investor excitement around Zomedica’s upcoming launch of TRUFORMA — which is expected to arrive on March 30. TRUFORMA is a point-of-care diagnostic device used for detecting thyroid disease in dogs and cats. And in late January, Zomedica signed a deal with Miller Veterinary Supply for the distribution of TRUFORMA.

Disclaimer: This content is intended for informational purposes. Before making any investment, you should do your own analysis.