Progressive Care Inc (OTCMKTS:RXMD) has been correcting to the downside in recent weeks, potentially creating an opportunity for traders. Momentum could soon shift given last week’s news pointing to a accelerating growth curve at the company, which just hit the market with a boast of a new all-time sales record of 20,000 prescriptions filled.
Traders will note the recent slide, but that comes in the context of an overall technically bullish picture, with the stock powering out of sub-penny status this year in a trend that has seen as much as 900% in steady gains over the past 12 months.
Market participants may want to pay attention to this stock in its current consolidated state as this one has evidenced sudden upward volatility on many prior occasions.
Progressive Care Inc (OTCMKTS:RXMD), through its subsidiary Pharmco LLC, trumpets itself as a company that provides prescription pharmaceuticals to individuals and institutions in south Florida.
The company operates a retail pharmacy that specializes in the sale of anti-retroviral medications and related patient care management; the sale and rental of durable medical equipment (DME), such as hospital beds, oxygen supplies, power wheelchairs, scooters, walkers, and other related equipment and accessories; and the supply of various prescription medications to long term care facilities.
It also provides long term care solutions to skilled nursing facilities, assisted living facilities, retirement centers and communities, doctors’ offices, and clinics. In addition, the company purchases, repackages, and dispenses prescription and non-prescription pharmaceutical products for its long term care customers.
Further, it offers computerized maintenance of patient prescription histories; third party billing; and consultant pharmacist services consisting of evaluation of monthly patient drug therapy and monitoring the institution’s drug distribution system, as well as home service and maintenance, defective product replacements, and free home installation and instruction services.
The current picture of RXMD can be neatly captured by its press release last week announcing its record-setting month of August 2016.
The company’s subsidiary, PharmCo, beat its previous company sales and revenue records by over 10% during the month. The Company filled well over 20,000 prescriptions in that period, representing an increase of 22% over the same month last year.
Revenues on prescriptions filled also reached an all-time high for a single month at $1.75 million. This achievement is a 47% increase over August 2015. The Company is capitalizing on increased demand for its services from independent clinics, physician offices and long term care facilities. Construction has also begun on the warehouse space. The company expects completion of the space by the end of October 2016 and the ScriptPro automation system to be installed the first week of November.
“This accomplishment is the culmination of the years of hard work and dedication to this company and its mission. The level of service we provide is second to none and we have received a strong response from the health care community in South Florida,” stated S. Parikh Mars, CEO. “With this level of momentum, we will continue to exceed expectations and deliver stellar financial results.”
Now commanding a market cap of $686K, RXMD has an extremely small store of cash on the books, with total assets above $1.7M, which is balanced by an appreciable load ($684.18k) of total accumulated debt. But the balance sheet isn’t a major issue because the sales picture casts a big shadow, with trailing twelve month revenues coming in at just over $10M and growing at an impressive 30% clip, year on year. The stock is doing a reasonable job of constructively consolidating a massive jump from sub-penny levels over the past year, now establishing a new range well above the $0.025 area.
RXMD is starting to make some real noise. With no balance sheet difficulties looming over future capital governance, a restricted float, and clearly growing interest among traders, new catalysts coming down the pipe for RXMD will likely create some fantastic opportunities for alert traders. To get the full story on RXMD subscribe below to Oracle Dispatch right now.