Will ETRM Stock Bounce Back?
EnteroMedics Inc (NASDAQ:ETRM) has had a busy 2017 so far. After climbing by 1373% in five days starting on January 4, ETRM stock is now down over 43%.
Like a lot of health and biotech stocks, President-elect Donald Trump’s news conference on Wednesday, during which he lambasted the biotech industry, hurt ETRM stock, but it was already on its way down since Wednesday’s start.
S&P Equity Research cut the price target from $17.19 to $11.06 in a research note issued to investors on Monday, but that didn’t affect the value of ETRM stock going into Tuesday.
Wednesday’s drop was precipitated by perhaps too extreme a rise in too short a time, but there was no single trigger event that sent the shares careening down.
Here’s some of my previous reporting about the recent success of ETRM stock rising insanely over the past week, and about the company’s vBloc neurometabolic therapy:
Called “vBloc” neurometabolic therapy, EnteroMedics flagship treatment’s expansion announced on Thursday was a huge boon to the company.
This is some much-needed good news for the struggling ETRM stock. Share value has been in steady and steep decline since 2012, dropping from prices in the $4,000 range all the way down to its current price of $4.21. Thursday’s doubling of stock value is a nice change of pace for ETRM stock enthusiasts.
MedStar Health in Maryland and Roper St. Francis in South Carolina added the therapy to their institutions, according to the announcement.
And here’s a press release from EnteroMedics about the specifics of its NEW treatment:
vBloc Therapy is approved for use in helping with weight loss in people aged 18 years and older who are obese, with a BMI of 40 to 45 kg/m2, or a BMI of 35 to 39.9 kg/m2 with a related health condition such as Type 2 diabetes, high blood pressure, high cholesterol levels or obstructive sleep apnea who have had a poor response to trying to lose weight under supervision in the last 5 years.
(Source: “EnteroMedics Announces vBloc Neurometabolic Therapy Now Available at MedStar Health and Roper St. Francis,” EnteroMedics Inc, January 5, 2017.)