Here's Why Nanox Stock Went Up Today
Shares of medical imaging company Nano-X Imaging (NASDAQ: NNOX) -- commonly referred to as Nanox -- went up on Thursday after some pretty substantial news broke regarding regulatory clearance. At 10:50 a.m. ET, Nanox stock was only up 6%, but it had been up as much as 24% earlier in the morning.
In a press release this morning, Nanox announced that the U.S. Food and Drug Administration (FDA) had expanded clearance for its flagship medical device, the Nanox.ARC. The FDA had previously cleared it for certain applications, but today that clearance expanded to include pulmonary and intra-abdominal images, among other things.
Nanox has a differentiated business model that seeks to generate recurring, per-scan revenue from its medical imaging software. It plans to get its machines out there for free or at a reduced price. But to do this, it needs to satisfy the FDA. Therefore, today's news is a step toward its long-term vision.
Source Fool.com
