A dead cat bounce is when a falling stock sees a short-term recovery, but is ultimately likely to head lower. It comes from the idea that “even a dead cat will bounce if it falls from a great height.” The stock market does not move in a straight line, and there are many ups and downs whichever way a stock moves. Thus, investors would be best served understanding which stocks are more akin to dead cats than recovery bids, particularly in this market.Many stocks with horrible fundamentals could plunge much fu ...

Financial Performance - For the three months ended March 31, 2024, net sales increased to $2,921,000, representing a 4% increase compared to $2,812,000 for the same period in 2023, primarily due to higher sales of Accelerate PhenoTest consumables[236]. - Cost of sales for the three months ended March 31, 2024, rose to $2,198,000, a 22% increase from $1,801,000 in the same period in 2023, driven by increased manufacturing costs and higher sales volume of consumables[237]. - Gross profit for the three months ended March 31, 2024, decreased to $723,000, down 28% from $1,011,000 in the same period in 2023, with a gross margin of 25% compared to 36% in 2023[239]. - Loss from operations improved to $(10,156,000) for the three months ended March 31, 2024, a reduction of 37% from $(16,062,000) in 2023[245]. - The company reported a net loss of $14.2 million and negative cash flows from operations of $8.5 million for the three months ended March 31, 2024[249]. Cash and Financing - As of March 31, 2024, the company had $15.8 million in cash and cash equivalents, an increase of $2.6 million from $13.2 million at December 31, 2023[252]. - The company completed an underwritten public offering in January 2024, generating net proceeds of $11.0 million[251]. - Net cash used in operating activities for the three months ended March 31, 2024, was $8.5 million, an improvement of $4.9 million compared to $13.4 million in the same period of 2023[266]. - Net cash provided by financing activities increased to $11.4 million in Q1 2024, compared to a net cash used of $0.1 million in Q1 2023, primarily due to proceeds from the sale and issuance of Units[266][269]. - The Company issued $66.9 million in 5.00% Notes in June 2023, which mature on December 15, 2026, and bear interest at 5.00% per annum, payable in kind[270]. - The January 2024 Public Units Offering generated gross proceeds of approximately $10.2 million, with an additional private placement raising about $2.0 million[281][282]. - The Schuler Trust has a forward contract to purchase an additional 1.6 million Units at a price of $1.73 per unit, expected to generate approximately $2.7 million in gross proceeds[283]. - The Company has a non-cancellable purchase obligation for raw materials totaling $11.9 million, with delivery required by March 15, 2027[261][264]. - As of March 31, 2024, approximately $0.7 million of 2.50% Notes remains outstanding and in default, accruing interest at 2.5% per annum[276]. - The Company plans to finance future cash requirements through equity offerings, debt financings, or collection of exclusivity fees from BD[264]. - The 5.00% Notes Indenture includes customary events of default, allowing for immediate payment upon certain conditions[271]. Operational Developments - The Accelerate Wave system, currently in development, aims to deliver antibiotic susceptibility testing results within 4.5 hours, significantly faster than traditional methods[232]. - The Accelerate Arc system and BC Kit were launched in 2022, with ongoing discussions with the FDA regarding commercialization in the U.S. as Class I devices exempt from 510(k) clearance requirements[228]. - A collaboration with Bruker Corporation was announced in November 2023 to validate the use of the Accelerate Arc system with Bruker's MALDI Biotyper system for microbial identification[231]. - The company anticipates significant workflow benefits for microbiology labs by offering consolidated testing for positive blood cultures and isolates with the Accelerate Wave system[233]. - The Accelerate Wave system is expected to have a lower production cost compared to the Accelerate PhenoTest BC Kit, potentially improving the company's margin profile[234]. - The company continues to invest in research and development to enhance existing products and develop new applications for the Accelerate Arc Products[231]. Financial Health and Concerns - The company has expressed the need to secure additional funds to continue operations and meet financial obligations, indicating insufficient financial resources for at least the next twelve months[218]. - The company has substantial doubt about its ability to continue as a going concern due to inadequate financial resources to fund forecasted operating costs for at least twelve months[259]. - The primary use of capital has been for the development and commercialization of the Accelerate Pheno® system and the next generation Accelerate Wave™ system[253]. - As of March 31, 2024, total cash requirements amount to $94.2 million, with significant obligations including $67.6 million in 5.00% Notes and $11.9 million in purchase obligations[261][276]. - The company's accumulated deficit totaled $683.1 million as of March 31, 2024[249]. Accounting and Reporting - The financial statements are prepared in accordance with U.S. GAAP, requiring estimates and assumptions that may affect reported amounts[285]. - There have been no material changes to critical accounting policies and estimates, except for the accounting of warrants issued in January 2024[285]. - As of March 31, 2024, the company reported no off-balance sheet arrangements[284].

Financial Data and Key Metrics Changes - Net sales for Q1 2024 were approximately $2.9 million, an increase from approximately $2.8 million in the same period last year, driven by an increase in recurring consumable net sales [6] - Gross margin decreased to approximately 25% from approximately 36% in the prior year, attributed to product mix [6] - Selling, general and administrative (SG&A) expenses were approximately $5.7 million, down from $10.1 million in the prior year, primarily due to lower employee-related expenses and non-recurring legal costs [6] - Research and development (R&D) expenses were $5.2 million, down from $7 million in the prior year, due to lower employee-related and third-party development expenses [7] - The net loss for the quarter was approximately $14.2 million, resulting in a loss per share of $0.74 [7] - Cash used for the quarter was approximately $9 million, excluding cash raised from a January equity offering [7] Business Line Data and Key Metrics Changes - The Wave program is positioned to disrupt the microbiology susceptibility testing market, which is estimated at close to $2 billion and growing at about 6% annually [8] - The PBC market represents about $800 million, while the isolate market is approximately $1 billion [8] - Wave offers a consolidated platform that can process both PBC and isolate specimens, with features such as same-shift results and high throughput workflow [8] Market Data and Key Metrics Changes - The company is focusing on expanding its market presence in both the US and EMEA regions, targeting over 500 accounts in its sales funnel [10] - The company aims to secure long-term contracts for Wave, which is expected to improve patient care and hospital economics [10] Company Strategy and Development Direction - The commercialization strategy for Wave includes extending leadership in the rapid PBC AST market, expanding the available market by launching an isolate menu, and pursuing geographic and technology expansion [12] - The company is also developing a Gram Positive PBC menu and plans to partner with pharmaceutical companies for drug discovery [12] - A global partnership to commercialize Wave is a key part of the strategy, with robust interest from multiple partners [13] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the team's ability to manage technical and timeline risks associated with clinical trials and FDA submissions [9] - The company is focused on reducing operating expenses and cash burn in the coming quarters [7] - Management highlighted the positive feedback and strong interest in Wave from current and prospective customers [8] Other Important Information - The company submitted a 510(k) to the FDA for the Arc system, which is the first automated PBC sample preparation method [11] - The preclinical trial for Wave is ongoing, with clinical trials targeted to start towards the end of the second quarter [9] Q&A Session Summary Question: Details on customer conversations regarding Wave - Management noted ongoing dialogues with customers, highlighting the high throughput and rapid results of Wave compared to competitors [17] Question: Transition process for customers to new products - Management explained that Wave offers optionality for customers with existing molecular platforms, allowing integration with rapid susceptibility testing [20] Question: Update on Bruker collaboration - The collaboration with Bruker is progressing positively, with the Arc system currently under FDA review [23] Question: Progression with CD collaboration and its impact - Management reported contracting 12 new Pheno instruments and bringing eight live, enhancing market penetration for rapid susceptibility testing [26]

Accelerate Diagnostics (AXDX) came out with a quarterly loss of $0.88 per share versus the Zacks Consensus Estimate of a loss of $0.72. This compares to loss of $1.70 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of -22.22%. A quarter ago, it was expected that this maker of systems that diagnose drug-resistant infections would post a loss of $0.62 per share when it actually produced a loss of $0.89, delivering a surprise of -43 ...

Financial Performance - Net sales for Q1 2024 were $2.9 million, a slight increase from $2.8 million in Q1 2023, with consumable product revenues rising by 7% year-over-year[4] - Net sales for Q1 2024 were $2,921,000, an increase of 3.9% compared to $2,812,000 in Q1 2023[20] - Gross profit decreased to $723,000 in Q1 2024 from $1,011,000 in Q1 2023, representing a decline of 28.5%[20] - The net loss for the quarter was $17.0 million, resulting in a net loss per share of $0.88[5] - Net loss for Q1 2024 was $16,965,000, slightly higher than the net loss of $16,795,000 in Q1 2023[20] - Basic and diluted net loss per share improved to $0.88 in Q1 2024 from $1.71 in Q1 2023[20] Cost Management - Gross margin for the quarter was approximately 25%, down from 36% in the same quarter last year, attributed to a lower mix of capital instrument product sales[4] - SG&A costs decreased to $5.7 million from $10.1 million in the prior year, primarily due to lower employee-related expenses[4] - Total costs and expenses significantly reduced to $10,879,000 in Q1 2024 from $17,073,000 in Q1 2023, a decrease of 36.4%[20] - Research and development expenses decreased to $5,173,000 in Q1 2024 from $6,968,000 in Q1 2023, a decline of 25.7%[20] Cash Flow and Liquidity - Cash used in Q1 2024 was approximately $9.0 million, net of financing, including about $1 million in pre-paid annual expenses[5] - Cash and cash equivalents increased to $14,606,000 as of March 31, 2024, up from $12,138,000 at the end of 2023[22] - Net cash used in operating activities decreased to $8,452,000 in Q1 2024 from $13,367,000 in Q1 2023, a reduction of 36.5%[22] Strategic Developments - The company installed its first pre-clinical trial site for the Accelerate Wave system, targeting a clinical trial start by the end of Q2 2024[2] - Contract extensions with strategic customers secured approximately 70% of the U.S. Pheno® customer base for longer-term contracts ahead of the Wave commercial launch[3] - The company added 12 new contracted Pheno instruments in the U.S., totaling 348 clinically live revenue-generating instruments by the end of the quarter[3] - The company continues to develop its Gram Positive PBC menu alongside the ongoing clinical trial work for the Accelerate Wave system[2] Liabilities and Accounts Payable - Total liabilities rose to $56,502,000 as of March 31, 2024, compared to $51,254,000 at the end of 2023, an increase of 10.3%[20] - The company reported a significant increase in accounts payable, which rose to $5,108,000 in Q1 2024 from $4,796,000 in Q4 2023[20]

The market expects Accelerate Diagnostics (AXDX) to deliver a year-over-year increase in earnings on higher revenues when it reports results for the quarter ended March 2024. This widely-known consensus outlook is important in assessing the company's earnings picture, but a powerful factor that might influence its near-term stock price is how the actual results compare to these estimates.The earnings report might help the stock move higher if these key numbers are better than expectations. On the other hand ...

TUCSON, Ariz., May 2, 2024 /PRNewswire/ -- Accelerate Diagnostics, Inc. (NASDAQ: AXDX) announced today that management will host a conference call on Wednesday, May 8, 2024, at 4:30 p.m. Eastern Time to review 2024 first quarter results. To listen to the audio webcast online, visit ir.axdx.com. A replay of the audio webcast will be available for 30 days. To listen by phone, dial +1.877.883.0383 and enter the Elite Entry Number: 2853328. International participants may dial +1.412.902.6506. Please dial in 10- ...

Financial Obligations and Defaults - As of December 31, 2023, the company had $67.6 million in aggregate principal amount of 5.00% Notes outstanding, maturing on December 15, 2026[102]. - The company is in default of payment obligations under the terms of its 2.50% Notes, which matured on March 15, 2023, with approximately $0.7 million remaining in default[106]. - The company's ability to repay its remaining indebtedness depends on future performance, which is subject to various uncontrollable factors[104]. - The company may need to secure additional funds to continue operations, which could result in dilution to stockholders if equity securities are issued[100]. - The company has been notified by Nasdaq that its Market Value of Listed Securities was below the required minimum of $35 million for 31 consecutive business days[222]. - The company has until September 3, 2024, to regain compliance with the Nasdaq listing requirements or face potential delisting[222]. - The company has increased the total number of authorized shares of common stock by 250 million, bringing the total to 450 million, which may cause significant dilution for existing shareholders[225]. - Future issuances of common stock or convertible debt securities may depress the market price and dilute existing stockholders[226]. - The company faces challenges in obtaining additional funds on acceptable terms, which may involve unfavorable covenants or terms for stockholders[231]. Operational Challenges and Losses - The company has experienced losses from operations for the years ended December 31, 2023, 2022, and 2021, and expects to continue incurring losses in the future[108]. - The company currently has a net loss due to insufficient sales of reagents and test cartridges to cover fixed expenses[144]. - Excess inventory write-downs were recorded during the year ended December 31, 2023, due to mismatches between supply and demand[145]. - The company is experiencing unprecedented cost increases from suppliers, impacting gross profit margins[155]. - The COVID-19 pandemic has adversely affected the company's business, limiting access to customers and impacting sales[149]. - The company may need to delay product development or reduce marketing efforts if sufficient funds are not obtained[232]. Product Development and Commercialization - The successful commercialization of the Accelerate Pheno system and associated test kits is critical for the company's future profitability and existence[111]. - The company has entered into a Sales and Marketing Agreement with BD, which will significantly impact the commercialization of its products[114]. - The company may face challenges in obtaining additional product marketing authorizations from the FDA, which could hinder revenue generation[119]. - The company is currently in discussions with the FDA regarding the commercialization of the Accelerate Arc Products, which has been put on hold in the U.S. due to regulatory challenges[123]. - The company has incurred significant expenses related to research and development, including costs for the Accelerate Pheno and Accelerate Arc systems, as well as the new Accelerate Wave system[121]. - The company has made significant investments in research and development, particularly in the Accelerate Pheno, Accelerate Arc, and Accelerate Wave systems, but there is no guarantee these will result in commercially viable products[176]. - The company relies on third-party manufacturers for key components, which poses risks related to regulatory compliance and supply chain disruptions[151]. - The company may face challenges in accurately estimating customer demand, leading to potential product shortages or excess inventory[145]. - Any modifications to cleared devices may require new 510(k) clearances, which could impact the company's ability to market its products[214]. Regulatory and Compliance Risks - The company is subject to extensive regulation by the FDA and other governing bodies, which could affect product commercialization and result in significant compliance costs[184]. - The FDA requires the company to obtain 510(k) clearance for its Accelerate Arc Products to continue marketing in the U.S.[205]. - The company submitted a pre-submission package to the FDA on October 21, 2022, seeking feedback on its 510(k) application for the Accelerate Arc Products[205]. - The FDA's proposed regulation changes for laboratory developed tests (LDTs) could complicate the clearance and approval processes for the company's products[207]. - The company may incur significant expenses to comply with various governmental laws and regulations, which could delay product commercialization[183]. - Compliance failures may lead to severe consequences, including product recalls, civil penalties, and potential criminal prosecution[186]. - The company faces significant legal risks due to potential violations of federal healthcare laws, which could result in civil monetary penalties and exclusion from federal healthcare programs[185]. Market and Competitive Environment - The company faces strong competition from established and new competitors, which may have greater resources and capabilities[134]. - Market opportunity estimates and growth forecasts are subject to significant uncertainty, which may lead to overestimation of potential market opportunities[141]. - The company generates a portion of its revenue internationally and faces various regulatory and operational risks in foreign markets[136]. - Legislative changes in the healthcare industry could adversely impact the company's revenue and research initiatives, particularly regarding reimbursement policies[182]. - Changes in healthcare policy and reimbursement structures could adversely affect the sales and profit margins of the company's products[196]. - The Protecting Access to Medicare Act of 2014 has tied Medicare's clinical laboratory reimbursement to private market rates, affecting pricing and utilization[198]. - The company may be impacted by healthcare reform initiatives that aim to shift payment models from quantity to quality, potentially increasing costs[197]. Intellectual Property and Legal Risks - The company faces risks related to intellectual property, including potential infringement claims from third parties, which could result in substantial legal expenses and divert management's focus[170][172]. - The lifespan of patents is limited, generally expiring 20 years after filing, which could affect the company's competitive position if patents are challenged or not adequately enforced[166]. - The company may face claims regarding the misappropriation of intellectual property by former employees, which could lead to costly litigation[174][175]. - The company carries a nominal amount of business interruption insurance, which may not cover all potential losses from operational disruptions[180]. Management and Operational Dependencies - The company relies heavily on its information technology systems, which are vulnerable to cyber-attacks that could compromise sensitive data and disrupt operations[130]. - The company is dependent on key personnel for its success, and challenges in recruiting and retaining qualified employees could hinder its operational goals[132]. - The company operates a single research and development facility in Tucson, Arizona, and any disruption to this facility could materially harm its ability to conduct research and development activities[177][178]. - Manufacturing processes are complex and any unforeseen issues, such as contamination or equipment malfunction, could lead to delays in product production, impacting revenue growth and market acceptance[179]. - A recall of products could significantly impact the company's operations and reputation, diverting resources and potentially leading to regulatory penalties[219]. Stock Market and Ownership - The stock price has been highly volatile, ranging from $4.17 to $10.30 per share in 2023, and from $5.10 to $51.50 per share in 2022, reflecting a one-for-ten reverse stock split on July 11, 2023[236]. - Approximately 48% of the outstanding common stock is beneficially owned by directors and executive officers, including 40% by a single director, Jack Schuler, which may influence stockholder decisions and market price[238]. - The concentration of stock ownership contributes to low trading volume and volatility, potentially affecting the market price of common stock[238]. - Current macroeconomic conditions, including inflation and global health crises, may impact customer spending on the company's products, potentially delaying sales cycles[244].

Group 1 - Accelerate Diagnostics, Inc. will host a conference call on March 28, 2024, at 4:30 p.m. Eastern Time to review the fourth quarter and full year results for 2023 [1] - The audio webcast can be accessed online, and a replay will be available for 30 days [1] - Participants can join the call by phone, with specific numbers provided for U.S. and international callers [1] Group 2 - Accelerate Diagnostics, Inc. focuses on in vitro diagnostics, addressing global challenges such as antibiotic resistance and sepsis [2] - The company's Accelerate Pheno® system and Accelerate PhenoTest® BC kit automate sample preparation and provide antibiotic susceptibility results in approximately 7 hours from positive blood cultures [2] - External studies suggest that the solution delivers results 1-2 days faster than existing methods, allowing for earlier optimization of antibiotic therapy [2]

TUCSON, Ariz., Jan. 19, 2024 /PRNewswire/ -- Accelerate Diagnostics, Inc. (NASDAQ: AXDX) (the "Company") today announced the pricing of an underwritten public offering consisting of 6,860,659 units, each consisting of one share of common stock and one warrant to purchase one share of common stock, and for certain investors in lieu thereof, pre-funded units, each consisting of one pre-funded warrant to purchase one share of common stock and one warrant to purchase one share of common stock. The public offeri ...