Wellgistics Health (WGRX) stock underwent a massive rally on Friday after the pharmaceutical company announced a collaboration with AI data company DataVault (DVLT). This agreement was announced on Wednesday, but retail traders appear to have taken an interest in the company a couple of days after the news broke.
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Wellgistics Health and DataVault have signed a non-binding letter of intent to create manufacturer-to-patient, blockchain-enabled smart contracts that will utilize the former’s proprietary PharmacyChain technology and physical infrastructure. The companies plan to target the full digital tracking of prescription drugs from script to fulfillment. The goal is to share revenue from fees generated by this tracking system.
Prashant Patel, President and interim CEO of Wellgistics Health, said, “Improving patient access to prescription medicines by minimizing administrative burden through blockchain-enabled smart contracts is the next logical step to help pharmacists ensure that patients get their medicines on time and on budget. We are ensuring that we will have the ability to conduct business over the long-term and build our ecosystem in a way that will allow us to increase our market share and margins as we expand into new markets.”
Wellgistics Health Stock Movement Today
Wellgistics Health stock was up 134% in pre-market trading on Friday, following a 9.04% rally yesterday. However, WGRX stock has fallen 86.7% year-to-date and over the past 12 months.
Today’s rally came with heavy trading, as more than 167 million shares of Wellgistics Health stock changed hands. To put that in perspective, the company’s daily average trading volume is 1.11 million units.
Traders will want to be careful about taking a stake in WGRX stock. The delayed price increase and penny stock trading levels make it a volatile bet best left to fearless traders. Those who aren’t careful may end up holding the bag if the stock can’t maintain the gains from today’s rally.
