Sonoma Pharmaceuticals’ shares almost tripled in premarket trading Friday. The huge jump is due to the latest news surrounding one of the company’s products. Sonoma Pharmaceuticals, along with MicroSafe Group, developed the Nanocyn disinfectant and sanitizer, which was added to the Australian Register of Therapeutic Goods (ARTG) and can be used against COVID-19.
In premarket trading Friday, the Sonoma stock surged 160%, which increased its value to 1.6 million shares. This is a huge jump when compared to the single-day trading average of 43,000 shares.
Sonoma utilized its Microcyn technology to develop Nanocyn, which has been used for the last 20 years for a safe and non-toxic way to fight global pandemics, said the CEO of MicroSafe Group Dubai, Safa Qadumi. Before the company was allowed to promote its product as having a virucidal effect, however, it had to receive the approval of the Australian Therapeutic Goods Administration.
Earlier this year, Sonoma announced its agreement with MicroSafe Group on the purchase of several assets. The agreement gave Sonoma the exclusive rights of the disinfectant and the company was allowed to distribute its wound care, disinfection and animal healthcare products in Australia, Middle East and Europe. The disinfectant will be distributed across the Australian market under the brand name of Nanocyn, while the Middle Eastern and European markets will use the name MicroSafe.
The CEO of Sonoma Pharmaceuticals, Amy Trombly, said that they already knew the effectiveness of the Microcyn technology when dealing with different pathogens, including viruses. The company was pleased that their product was also recognized by the Australian Register of Therapeutic Goods as efficient in killing COVID-19.
Analyst stock price forecast and recommendation
CNN Money shows the 12-month price forecast for Sonoma Pharmaceuticals Inc. offered by an investment analyst who has a median target of $9.00, with a high estimate of $9.00 and a low estimate of $9.00. The median estimate represents a -23.08% decrease from the last price of $11.70. The analyst rated the Sonoma Pharmaceuticals Inc. stock as “Buy” and this rating has not been changed since March.