Key points:
- Despite no news, the Virax Biolabs (VRAX) stock price soared 153%.
- Investors are still reacting to the company’s launch of Monkeypox PCR tests.
- So, should you buy VRAX stocks? Read on to find out.
The Virax Biolabs Group Ord Shs (NASDAQ; VRAX) stock price soared 153.5% today despite the lack of news releases from the biotech company that recently launched a PCR test for monkeypox and Varicella-Zoster Viruses.
The company launched the real-time PCR Detection Kits on July 26, 2022, in light of the growing number of reported monkeypox infections globally, with the World Health Organization (WHO) declaring it a global health emergency.
Also read: Five Best Pharmaceutical Stocks To Watch In 2022.
The trading patterns in VRAX stock have been highly volatile since the company launched its PCR tests as the bulls and bears fight for control. Despite today’s rally, VRAX stock is still trading way below its recent high of $29.
Virax Biolabs started trading on the Nasdaq on July 21, 2022, just a few days before launching its PCR tests. Hence, we do not have a lot of historical data to compare the price action over the past few days.
However, demand for the company’s PCR tests is likely to keep rising if the number of Monkeypox infections continues to rise across the globe. Despite listing on the NASDAQ recently, Viraxwas founded in 2013 and has been around for nine years.
Furthermore, the company’s existing shareholders sold most of their shares when Virax stock hit its all-time highs on Friday, pushing it to close at $5.40. Therefore, today’s price action is a move by investors to push VRAX shares higher.
Investors should also remember that Virax has launched its PCR tests in Europe but is yet to launch the tests in the United States and the rest of America. So only time will tell whether VRAX stock shall keep rising over time.
So, should you buy VRAX stock? Unfortunately, the answer for most investors is no. I would wait until the volatility is over before deciding whether to buy or sell VRAX shares.
*This is not investment advice. Always do your due diligence before making investment decisions.
VRAX stock price.
The Virax Biolabs stock price surged 153.52% to trade at $13.69, rising from Friday’s closing price of $5.40.