For many days the Ra Medical Systems (NYSEAMERICAN:RMED) stock had been in the middle of a major selloff but on Tuesday it managed to make a recovery and went up by as much as 6%. That being said, it is perhaps also necessary to remember that the stock is still down by as much as 60% over the course of the past week.
Trading Data
On Tuesday, RMED stock gained 3.22% to $0.3715 with more than 10.56 million shares, compared to its average volume of 882K shares. The stock moved within a range of $0.3488 – 0.3990 after opening trade at $0.3610.
Sell-Off After The New Stock Offerings
Could this be the start of a longer recovery? In order to figure that out, it is important for investors to note that back on February 4 the Ra Medical stock slumped and tanked hard after it made an announcement with regards to the pricing of its underwritten public offering.
The company announced that it was going to offer a total of 9.54 million units and the units were going to be offered at the price of $0.50 each. Ra Medical announced at the time that it aimed to raise gross proceeds to the tune of as much as $12 million from the offering. It appears that the investors were not particularly happy with the pricing of the offering and the stock suffered from an almighty selloff. It remains to be seen if it keeps recovering today or not.
Technical Data
RMED stock is trading below the 20-Day and 50-Day Moving averages of $0.93 and $1.44 respectively. Moreover, the stock is trading below the 200-Day moving average of $3.03. The stock is down 60% in the past week.
