Scopus Biopharma (SCPS) Stock Soared 129% Despite No News

The Scopus Biopharma Inc (NASDAQ: SCPS) stock price soared 129.4% despite the lack of announcements from the company.

The move higher can be attributed to renewed investor interest in the company, given that over 9.63 million shares had changed hands at the time of writing.

However, the positive investor sentiment towards the biopharma company is questionable, given that the company is in danger of being delisted from the Nasdaq Capital Market after failing to meet the exchange’s listing requirements. 

Scopus Biopharma received a final deadline extension from the Nasdaq for the milestones it was supposed to achieve. Still, the company expressed its doubts about whether it would be able to meet the deadlines set by the exchange. 

Firstly, the company’s current market stock price is below the $1 threshold set by the Nasdaq, yet the company has not initiated a reverse stock split that would bring its stock price above the required threshold. 

Therefore, the firm’s compliance with the Nasdaq’s minimum bid requirements has been left to chance, with many hoping that the SCPS stock can rally above $1 via market forces. 

Scopus Biopharma completed a recapitalisation exercise in mid-October, which independently valued its subsidiary Duet Biotherapeutics at $25 million. However, the company’s valuation on the public markets did not improve to reflect Duet Bio’s valuation. 

So, would I buy Scopus BioPharma stock? The short answer is no. The company faces an uncertain future and might soon be delisted from the Nasdaq Capital Market since there is little indication that it will meet all the Nasdaq listing requirements in time. 

The Nasdaq’s compliance deadline is January 9, 2023, just three weeks away. 

*This is not investment advice. 

Scopus Biopharma (SCPS) stock price. 

The Scopus Biopharma (SCPS) stock price soared 129.43% to trade at $0.5387, from Wednesday’s closing price of $0.2348.