Progenity Inc (NASDAQ:PROG) Stock Pulls Back After The Big Jump

Market Reaction:

On Wednesday, PROG stock decreased 9.33% at $2.7200 with more than 71.52 million shares, compared to its average volume of 44.24 million shares. The stock has moved within a range of $2.6600 – 2.9200 after opening the trade at $2.8400.

Biotech firm Progenity Inc (NASDAQ:PROG) was not in the news yesterday but the stock fell nonetheless due to profit booking. Although the stock declined by as much as 9% yesterday, investors need to note that the stock is still up by as much as 28% over the course of the past week.

Major Trigger

In this sort of a situation, it is perhaps important to take a closer look at the company and as it happens, last week, the company had been in the news. On October 13, Progenity announced that it had been awarded as many as four new patents by the United States Patent and Trademark Office.

The patents in question were awarded to Progenity for the ingestible technologies that can be used for delivering therapeutics by way of the gastrointestinal tract. It goes without saying that it was a major development for the company and although he stock had fallen initially after the news emerged, it soon took off.

While investors have decided to take some of their profits from the table, it could be a fresh opportunity for new investors. Hence, it might be the right time to add the Progenity stock to your watch lists and keep an eye on it.

Traders Note:

PROG stock is trading above the 20-Day and 50-Day Moving averages of $1.92 and $1.34. However, the stock is trading below 200-Day moving average of $3.28. The stock is up 187% in the past month.