The company's CEO is reportedly being investigated
While most U.S. stocks are higher out of the gate, the shares of medical device maker Mazor Robotics Ltd (NASDAQ:MZOR) are bucking the trend, down 2.8% to trade at $56.11. MZOR stock is reeling amid reports that CEO Ori Hadomi is being investigated for insider trading related to Medtronic's (MDT) investment in Mazor back in 2016.
Prior to today, MZOR stock was up roughly 164% in 2017, touching a record high of $65.97 on Oct. 31. The equity is now on track to breach its 50-day moving average for the first time since mid-August.
Quite a few short sellers could be cheering. While short interest dwindled during the past two reporting periods, it still accounts for more than 10% of MZOR stock's total available float. Analysts, on the other hand, have remained skeptical, despite Mazor Robotics' long-term uptrend. Just one of five analysts considers the security a "buy" or better.