Cytori Therapeutics Inc (NASDAQ: CYTX)
Cytori Therapeutics stock has had a bit of a rough week in the market. In mid-week, there was a slight bump in price that followed the release of preclinical data by the company. However, other than that one day, all we’ve seen is downward movement. So, a big question is starting to come up…”Is now the time to buy CYTX?” In my opinion, the answer is yes! Here’s why…
CYTX Has Reached A Level Of Support
At this point, it seems as though Cytori stock is being met with strong support in the market. After drastic declines throughout the week, the stock hasn’t broken below the $0.93 price point, and I don’t think it will. Currently (11:56), CYTX is trading at $0.97 per share after a loss of 1.34% so far today. That is incredibly close to the level of support; meaning that there’s an opportunity to get in low before we start seeing the stock rise again.
Why I Don’t Think CYTX Will Fall Below $0.93
The bottom line for me is the simple fact that Cytori is worth more than $0.93 per share, and market support seems to think the same. So, why is CYTX worth more? I think Cytori’s chief scientist, Dr. John Fraser said it best….
Our data show that Cytori Cell Therapy acts at the cellular and molecular level to modulate different phases of wound healing thereby accelerating wound closure in clinically relevant large animal models. Treatment led to increased angiogenesis, blood vessel maturation, and deposition of collagen matrix which, along with accelerated epithelialization led to faster repair. These data are consistent with our prior studies with cells derived from adipose tissue in situations involving ischemia, inflammation and fibrosis.”
All in all, without the scientific terms Cytori is finding ways to help those that suffer from severe burns. Their new treatment is found to accelerate the healing process. In my opinion, there’s quite a bit of value in that!
What We Can Expect Moving Forward
As I mentioned above, I’ve got quite a bit of faith in CYTX. Not only is the stock reaching a level of support in the market, the company is making great advancements in the treatment of burns; which will prove to be profitable in the long run. All in all, I’m expecting long term upward movement from Cytori stock. However, it’s important to keep in mind that small-cap biotech is known for heavy price volatility; so we’ll most likely see a pretty bumpy road on the way to the top.
What Do You Think?
Where do you think CYTX is headed and why? Let us know in the comments below!