Stock for Avinger Inc (NASDAQ: AVGR) has been on a consistent upward trend since Thursday of last week, netting in gains of up to 16.42% in a mere six days, pushing the stock value to $0.28 per share. Judging from the scatter observed across social media, traders are closely observing these price movements, in anticipation of further growth yet to be realized.

Prior Stock Price Movements

AVGR, which has essentially become a penny stock, has deviated far from its days of glory where it was trading at upwards of $13 per share in late 2015. The US-based medical device specialist firm has undergone tremendous change due to a range of circumstances in the last seven years. Consistent losses in revenue and a lack of confidence amongst investors continue to contribute to the downfall of the AVGR stock.

Positive Corporate Developments

The sudden shift in market position for the AVGR stock is possibly linked to a string of reports and announcements that had surfaced in the prior weeks, bringing a glimmer of hope for the prospects of the company. The company’s catheter-based, and image-guided diagnosis machine, the Lightbox 3 for intravascular conditions, had been successfully used by American medical teams. This came as a breakthrough for the company, following the system’s approval by the FDA earlier on in January, which is presumably the most significant influencer on the company’s stock price as of present.

This development potentially signals a new phase in the company’s business trajectory. The Lightbox 3, both being approved by the relevant regulators, and being successfully used by US physicians, is likely to see success in the market, as an innovative solution. Furthermore, the company had earlier announced the closing of its direct offerings, which it had previously announced, amounting to a total amount of $7.6 million in financing. These preferential stocks had been acquired by a number of institutional bodies, looking to diversify their respective portfolios. This had freed up funding for the company to allocate towards working capital.

Conclusion

Developments around the future ambitions of Avinger translate directly into its stock market valuation by market. Given Avinger’s prior circumstances and varying challenges, this new stage in the company’s lifecycle could help push the company towards sustainable growth, and value creation for its stockholders. It comes as no surprise to observe the pace at which the market had responded to this breakthrough, which continues to see stock price climb.