EKSO BIONICS HOLDING (OTCBB:EKSO) Soars on Dubious Reports

In yesterday’s session Ekso Bionics Holdings Inc (OTCBB:EKSO) clambered up the charts by a good 16%. The move was a bit of a mystery, considering the exact time when it took place. By the closing bell EKSO found itself at $1.30 per share, after shifting its heaviest daily volume for the past two months.

The company published its quarterly report on Monday, in the early morning hours, but that left the market completely indifferent. On the day the filing went up, EKSO closed flat, then dropped 2% in the next session. Here is the brief version of the balance sheet that EKSO had in its Q3 report:

• $11.2 million in cash
• $8.2 million in current liabilities
• $2.9 million in Q3 revenues
• $5.1 million in Q3 net loss

Revenues have grown even on a QoQ basis, by a fair 38%. However, the gross margin has shrunk and net loss for the quarter is down by less than $500 thousand. The good news is that there is virtually no dilution, with around 250 thousand new shares issued since the company last reported on its OS figure.

The sudden surge in investor interest may be attributable to a number of reports of a very dubious nature, or rather a single report disseminated through a large number of websites. The article in question has been floating around for over a week, being reposted continuously and claims that Zacks upgraded EKSO‘s rating from “Sell” to “Hold”, citing different days of the week, depending when the piece was published on various domains.

As a matter of fact, as of the time of this writing, Zacks has a very clear “Sell” rating for EKSO, as seen in this screenshot. Additionally, the articles list MarketBeat as the source of the information and the MarketBeat profile for EKSO does not list a single rating from Zacks.

All the different versions of the report also list EKSO as a NASDAQ stock, while EKSO is an OTC QB tier company.