U.S. markets closed
  • S&P 500

    4,228.48
    -55.26 (-1.29%)
     
  • Dow 30

    33,706.74
    -292.30 (-0.86%)
     
  • Nasdaq

    12,705.21
    -260.13 (-2.01%)
     
  • Russell 2000

    1,957.35
    -43.38 (-2.17%)
     
  • Crude Oil

    89.91
    -0.59 (-0.65%)
     
  • Gold

    1,760.30
    -10.90 (-0.62%)
     
  • Silver

    18.97
    -0.50 (-2.56%)
     
  • EUR/USD

    1.0039
    -0.0053 (-0.52%)
     
  • 10-Yr Bond

    2.9890
    +0.1090 (+3.78%)
     
  • GBP/USD

    1.1823
    -0.0109 (-0.92%)
     
  • USD/JPY

    136.9300
    +1.0680 (+0.79%)
     
  • BTC-USD

    21,308.04
    -604.49 (-2.76%)
     
  • CMC Crypto 200

    504.88
    -36.72 (-6.78%)
     
  • FTSE 100

    7,550.37
    +8.52 (+0.11%)
     
  • Nikkei 225

    28,930.33
    -11.81 (-0.04%)
     

JAGX Stock Alert: What Is Going on With Jaguar Health Today?

  • Oops!
    Something went wrong.
    Please try again later.
·2 min read
In this article:
  • Oops!
    Something went wrong.
    Please try again later.

Shares of Jaguar Health (NASDAQ:JAGX) are up 10% today after a regulatory filing revealed that prominent merchant banking firm Oasis Capital has a 10% stake in the biopharmaceutical company.

ZOM stock: Persian cat with veterinarian doctor at vet clinic
ZOM stock: Persian cat with veterinarian doctor at vet clinic

Source: didesign021 / Shutterstock.com

Headquartered in New York City, Oasis Capital says that it provides financial advisory services to public and private companies with market capitalizations of less than $250 million. On occasion, Oasis Capital will make selective investments in the companies it advises.

That Oasis Capital has taken a 10% stake in San Francisco-based Jaguar Health is viewed as a vote of confidence in the company. For those unfamiliar, Jaguar Health is developing plant-based treatments for gastrointestinal issues.

InvestorPlace - Stock Market News, Stock Advice & Trading Tips

What Happened With JAGX Stock

A 13G regulatory filing revealed that Oasis Capital holds a 9.99% stake in Jaguar Health, news that has led investors to buy JAGX stock. That the merchant bank has taken a stake in Jaguar Health is seen as a big shot in the arm for the nascent biopharma company.

The regulatory filing showed that Oasis Capital owns 4.6 million shares of JAGX stock, making it one of the largest shareholders. Jaguar Health went public in 2015, issuing 3.2 million shares at $7 each. Its initial public offering (IPO) raised a total of $22 million.

Why It Matters

Before today’s big move higher, JAGX stock had been trending in one direction — downward. In the last 12 months, the company’s share price has declined 90%, including an 80% retrenchment over the past six months. Shares closed yesterday at 93 cents, putting them deep in penny stock territory.

The revelation that Oasis Capital holds a sizable stake in Jaguar Health is the best news the company has had in years, and has proven to be a catalyst for the stock price, sending it up 15% and reversing the steady and persistent slide.

What’s Next for Jaguar Health

While today’s move higher is positive for JAGX stock, it is likely to be short-lived. For Jaguar Health to truly reverse the slide in its share price, the company needs to demonstrate that its long-term strategic plan is working. That Oasis Capital holds a 10% stake in Jaguar Health is positive, but doesn’t change the fundamentals of the biopharmaceutical company.

On Penny Stocks and Low-Volume Stocks: With only the rarest exceptions, InvestorPlace does not publish commentary about companies that have a market cap of less than $100 million or trade less than 100,000 shares each day. That’s because these “penny stocks” are frequently the playground for scam artists and market manipulators. If we ever do publish commentary on a low-volume stock that may be affected by our commentary, we demand that InvestorPlace.com’s writers disclose this fact and warn readers of the risks.

Read More: Penny Stocks — How to Profit Without Getting Scammed

On the date of publication, Joel Baglole did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.

More From InvestorPlace

The post JAGX Stock Alert: What Is Going on With Jaguar Health Today? appeared first on InvestorPlace.