When a services company wins contracts then it generally has a positive effect on its stock and hence, it was perhaps no surprise that the Progressive Care Inc (OTCMKTS:RXMD) stock ended up with gains of 6% for the day on Wednesday.
Market Reaction
On Wednesday, RXMD stock moved up 6.06% to $0.0350 with more than 3.21 million shares, compared to its average volume of 750K shares. The stock moved within a range of $0.0320 – 0.0390 after opening trade at $0.0350.
Progressive Care Gains Long Term Care Contracts with Major Payors
The company which is known for offering personalised healthcare services announced yesterday that its long term care unit had managed to sign plenty of long term care contracts and more important, the contracts were lucrative as well. In this context, it may be a good idea for investors to perhaps take a look at what the Chief Executive Officer of the company Jay Weisberg had to say.
Weisberg noted that the long term care contracts that had been signed by the company is going to help it in raising its pharmacy sales considerably and also lead to higher margins. He went on to state that everyone at Progressive Care was excited about the prospects o the long term care business and were confident that they will be able to produce strong results as well.
At this point in time, it may be a good idea for investors to keep the stock in their watch lists and keep track of developments.
Key Quote
“Our long history of enhanced patient care, as well as robust data management platform and logistics network are key elements that will facilitate the success of our long-term care business. The long-term care pharmacy contracts provide Progressive Care with an opportunity to significantly increase its sales that produce much better margins. Our Chief Operating Officer, Birute Norkute, has successfully executed on completing this complicated and tidies process and instituting final and imperative steps for the successful launch of our LTC marketing program. We are excited about LTC business and confident in our ability to deliver strong results.” stated Jay Weisberg, CEO of Progressive Care Inc.
Traders Review
RXMD stock is trading below the 20-Day and 50-Day Moving averages of $0.0351 and $0.0386 respectively. Moreover, the stock is trading below the 200-Day moving average of $0.0385.
