With current situations of covid-19, the economy is showing various traits that are yet to be dissected completely. One of the biggest hits is taken by the stocks of course. Most of the companies are going down and there is not any particular end to this dilemma, which also started around mid-Feb 2020. Among the much news that is covering the Nasdaq stock market is the Nasdaq opk stock news at https://www.webull.com/quote/nasdaq-opk.

OPKO health

OPKO Health is one of the largest bio-reference lab where patient testing takes place in the united states. They have facilities to handle various testing and research assignments that can cover the entire countries requirement. In early March 5, they have announced their plan to cope with the current coronavirus crisis by starting their covid-19 research. This particular step increased its position on the stock market rapidly and made the shares soar.  

Short-seller says

Seeing the current soaring position of the OPKO health in Nasdaq, one thing that short-seller Hindenburg said, is that this can be a sudden pump and dump scheme by the company. In simple words, this particular scheme is devised to make the shares soar in the market and cover the short-sellers. Hindenburg also suggested that maybe OPKO is using this opportunity to give a stronger foothold to their already lousy condition of the balance sheet due to several operating losses.

Ever since the mid of 2019, OPKO has reported cash losses and huge cash burn through laggy operations, which has cost them approximately $315 million when the revenue was of only $224 million. The cash balance has also dipped significantly, causing financial panic. 

What can be done?

Now the situation is not entirely bleak if going by the opk stock news or Nyse w news at https://www.webull.com/quote/nyse-w, as it is seen that the current condition coronavirus is gripping united states nonetheless. Slowly the cases are increasing, and therefore, the need to increase the facilities for testing is also increasing. OPKO labs being one of the largest in the country with several test centers, it can ramp up alongside market leaders in a week’s time. Within the next few days, they can get a patient share for testing for covid-19 as the current capacity of the country is currently 8000 a day, which is less compared to the situation. 

as the research has already started and the testing facilities will be provided in a few days, it is quite possible that the share prices will not go down. Also, the major business revenue is collected from the testing centers of the company, which means there is astrong chance of shares prices not going down. Therefore it is suggested to the investors that one should avoid short selling thenasdaq opkshares as of yet.

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