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      GMVD Sees Bounce-back Amidst Growing Covid Fears in Israel, China - Stocks Telegraph

      By Wasim Omar

      Published on

      March 28, 2022

      8:18 AM UTC

      Last Updated on

      March 28, 2022

      12:00 PM UTC

      GMVD Sees Bounce-back Amidst Growing Covid Fears in Israel, China - Stocks Telegraph

      Following its week-long downward trajectory, Friday saw G Medical Innovations Holdings Ltd (NASDAQ: GMVD) slide down a further 11.11%. However, the weekend brought a positive surprise to market holders, with GMVD potentially bouncing back by nearly 14%, in the after-hours. Consequently, GMVD gained 4.17% in pre-market today. The Israeli-based digital health and telemedicine firm are evidently one of high growth potential, which the market perceives as value-creating. Apparently, no recent press releases or direct news reports link this surge to any catalyst. However, this price upshoot may potentially be linked to Covid’s resurgence across many parts of the world, especially in Israel.

      GMVD’s Covid-related Prospects

      After being lauded as one of the best countries, in its Covid response, Israel reported increasingly concerning figures last week. Despite one of the highest vaccination rates in the world was reporting 16,000 daily cases throughout the weekend. These concerns were severely exacerbated following Prime Minister Naftali Bennett testing positive for Covid-19 early on Monday. These Covid-related updates significantly impact to the Israeli telemedicine company, G Medical Innovations. As Covid restrictions are likely to get stricter across Israel, remote healthcare is likely to see a surge in demand, across the country. The market has been quick to reprice the stock ahead of this demand shift, driving up GMVD price accordingly.

      In addition to Israel, G Medical operates in the Chinese market as well. China is another country potentially on the verge of a widescale Covid resurgence. The weekend brought breaking news of a complete Shanghai shutdown, gravely exacerbating concerns.

      These developments could directly boost profitability for GMVD, which is at the forefront of PCR testing. Moreover, the company also operates America’s largest Covid testing facility and processing lab. Within the facility, the company is able to conduct 100,000 tests per day. Furthermore, the company, with its remote medical infrastructure is on the potential verge of a healthcare revolution.


      Since its IPO four years ago, GMVD peaked in January at $6.12 since which it has lost 76.5% in price. Throughout these two months, GMIV has gone through a number of possible bounce-backs, none of which sustained into the long term. Market participants increasingly bet on whether or not the current shift is going to be any different. However, the potential of a Covid resurgence in Israel, China, and the wider world has brought GMVD back into the spotlight. The current growth trajectory points to a possible bounce-back which could very well sustain moving onwards.

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