Shares of Genedrive PLC (LON: GDR) soared 60.1% after revealing that it had received an Indian import license for its Genedrive® SARS-CoV-2 Kit via its partner DIVOC Health.
The license was awarded following the Indian Centre for Medical Research test kit’s approval on 30 April 2021.
The molecular diagnostics company warned investors that it might face challenges distributing its COVID-19 test kits in the country after the Indian government-imposed price controls favouring much cheaper basic tests compared to Genedrive’s.
Genedrive’s prospects remain extremely bullish given that it waldo sells its test kits in countries such as the United States, where a larger percentage of the population can afford its products.
The company’s addressable market in India is also quite sizeable given the country’s high concentration of wealthy persons who can afford and may prefer Genedrive’s test to the much cheaper basic tests.
Genedrive is currently working out a distribution strategy for India to maximise the commercial opportunities available via its partner DIVOC Health across the country’s public and private markets.
Genedrive has other significant opportunities via its partnerships with Mountain Horse Solutions in the United States, taking advantage of opportunities within the US Military. The company’s tests can be used across many countries globally, given their high accuracy and performance.
Gendrive’s shares just broke above the recent support/resistance level from a technical standpoint and could be headed much higher in the future.
Traders looking to buy Genedrive shares could open new positions if the shares hold above the support level outlined below. However, the shares have to hold above the support level over the coming days, as a break below the level would invalidate this trade idea.
*This is not investment advice.
Genedrive share price.
Genedrive shares soared 60.10% to trade at 79.25p, rising from Thursday’s closing price of 49.50p.
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