NEW YORK (TheStreet) -- IsoRay (ISR) recovered some of its losses from Friday, when the company priced its registered direct offering of common stock. The stock had surged more than 17% to a high of $2.52 as of 10:47 a.m. on Wednesday.
The company announced last week it had reached agreements with two institutional investors to sell 5,644,300 shares at $2.60 a share, which should yield gross proceeds of $14,675,180. IsoRay plans to use the proceeds for working capital and other corporate purposes.
IsoRay had surged to a new five-year high last week as it continued to benefit from its announcement of a major milestone in tumor treatment. IsoRay announced the world's first treatment of a tumor in a pediatric patient through the use of multiple Cesium-131 sutured seed meshes for internal radiation therapy. Dr. Anthony Crimaldi at Levine Cancer Institute in Charlotte successfully performed the implant using IsoRay Medical's Cesium-131 brachytherapy mesh.
The patient was a 12-year-old male with a type of childhood kidney tumor.
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TheStreet Ratings team rates ISORAY INC as a "sell" with a ratings score of D-. TheStreet Ratings Team has this to say about their recommendation:
"We rate ISORAY INC (ISR) a SELL. This is driven by a few notable weaknesses, which we believe should have a greater impact than any strengths, and could make it more difficult for investors to achieve positive results compared to most of the stocks we cover. The company's weaknesses can be seen in multiple areas, such as its disappointing return on equity, weak operating cash flow and poor profit margins."