The firm expects its reduced gluten Goodwheat product to be ready for retail by year's end
The shares of Arcadia Biosciences Inc (NASDAQ:RKDA) are looking to snap their four-day losing streak today, after the U.S. Patent and Trademark Office gave the firm's reduced gluten Goodwheat product a patent. The product, which contains 75% less allergenic gluten than traditional wheat, is slated for commercial sale by the end of the fourth quarter of this year. At last check, RKDA is up 4% at $5.51.
Since surging to a one-year record close of $9.85 on Aug. 26, the agricultural issue has cooled quite a bit, down 46.2% at Friday's close. It looks like RKDA has found some support at its 320-day moving average, however. Plus, the equity still boasts a roughly 70% year-to-date gain.
Analysts have been incredibly bullish on the stock, with the two in coverage giving it a "buy" or better rating. What's more, its 12-month consensus target price of $15 represents a level not touched by the stock since April 2018.
While short interest waned in the last reporting period -- down 72% -- the 472,800 shares sold short still make up a solid 6.8% of the stock's available float. This could help provide some wind at the equity's back, should more of these pessimistic positions begin to unwind.