As cases of the Omicron variant are increasing around the world, biotech stocks focused on developing technology to treat and detect Covid-19 have become increasingly popular. But one company that has been flying under the radar until now is Umbra Applied Technologies Group, Inc. (OTC: UATG). A diversified technology holding company, UATG stock has interests ranging across different sectors including alternative and conventional energy, medical innovation, and weapons systems.
The company has 8 affiliates operating in the fields of skin care, orthopedics, nutraceuticals, sleep support, and water treatment technology. However, it was UATG’s Covid-19 detection device which caught investors’ attention after the company verified that it can be applied to the Omicron variant as well.
UATG Stock News
UATG and its strategic partner Bacter Scientific, Inc. previously announced that its hand-held portable testing unit – Novi – is able to detect any Covid-19 variant. But that was back in July, when the world only knew about Delta and other less threatening variants. Since then, Omicron has been discovered and is believed to be the most infectious variant yet. So if Novi is able to detect it, then the upside potential for this stock could be substantial.
At the moment, Omicron has spread to five continents and the World Health Organization shared evidence showing a higher rate of reinfection. While not much is known about the variant, Omicron is widely expected to have a bigger impact than all the other variants combined.
With this in mind, UATG designed its Novi device as a small testing unit that delivers accurate results in a few minutes using loop-mediated isothermal amplification technology. Just by testing a saliva sample, Novi can screen for other viruses like Middle East Respiratory Syndrome, Tuberculosis, and Influenza variants as well.
The company filed with the FDA to approve its proprietary hand-held virus detection unit for emergency use in July and has been waiting for “substantive review” since. Once the Emergency Use Authorization is approved, Novi could be the easiest, fastest and only hand-held Covid-19 detection tool. The company has already taken the next step by filing a 510k request with the FDA to make Novi an FDA-approved device even after the pandemic is over.
Recently, UATG announced that it is “pushing approval outside U.S. since they seem more aggressive” in pursuing the launch of its Novi device. At the same time, UATG is following up on its 510k filing in the USA. According to the company, once it is “fulfilling orders we will begin marketing campaign here highlighting our successes in Asia & Europe”.
Meanwhile, the CEO of Bacter Scientific seems very bullish on the device considering the complexity of different variants, saying they, “can render existing testing processes obsolete, and this is where Novi becomes the only real solution for infectious screening”. So it’s not surprising that investors have been waiting for an update from UATG since the first case of Omnicron was found. The company has promised that the CEO will be coming out with news soon as it prepares for the new year.
Additionally, UATG has another catalyst in store as its joint venture company – H2O Processing, Inc. – sets itself up to use its parent company’s proprietary technologies to treat water in the Marcellus Shale region.
As a water filtration technology company, H2O Processing Inc. is targeting this region due to the many oil companies producing up to 250 thousand barrels of wastewater per day. All of this water needs to be treated or disposed of but its treatment can cost oil companies millions of dollars each year.
Here the company’s CEO – Farid Gozashti – believes that its proprietary technologies “will now be able to treat water that until now has either been impossible or not realistic from a cost perspective” to treat. According to UATG, using these technologies to process wastewater will save oil companies 70% of the current treatment and disposal costs – giving the company a major edge over other water filtration options.
Over the next few months, UATG’s joint venture company plans to release a three year timeline which will include environmental impact reports for each region of operation. This report will highlight any potential complications the JV company may face, but the company’s management appears very bullish on the technology’s potential. Currently, they expect to make thousands of dollars in revenue daily once operations begin and, if all goes as planned, UATG could reach eight-figures in the first year of operation.
Despite the company’s recent work, investors were disappointed that UATG was unable to uplist to the OTCQB this year as previously planned. Commenting on this, UATG’s CEO – Alex Umbra – said that this delay was unexpected however the company is planning on finishing the disclosures and audits needed over the next three months. He also added that the company’s working on restructuring its subsidiaries and hiring more employees for management to increase its efficiency and growth.
Media Sentiment
@Kanye_Invest appears bullish on the company’s leadership following a Q&A with shareholders.
UATG’s plans for accelerating Novi’s launch has investors like @og_tigress feeling confident.
Technical Analysis
UATG stock is currently on a downwards trend as it trades at $.0125. It has a support at .0115 and an immediate resistance near .0134 with a secondary resistance at .0168. The RSI is recovering from overselling at 40 but accumulation is following an upwards trend with the bullish MACD.
Although UATG has lost some of its momentum throughout December, the company’s plans for accelerating Novi’s launch could be the catalyst to push it back to .02 or higher. Given its low RSI and PPS near its support, bullish investors could find a suitable entry point here prior to its upcoming catalysts.
UATG Stock News
In light of the recent news that Novi will be able to detect Omicron and its plans for launching its product in Europe and Asia, UATG is seeing major interest from investors. The stock could be significantly undervalued given this recent development, but UATG has other catalysts going for it such as its joint venture company’s proprietary technology and the company’s potential acquisitions as well as strategic partnerships.
Once up and running, UATG could be making millions in revenue from its wastewater operations alone. And as anticipation builds for FDA approval, UATG stock could break past its current resistance at .016 and gap up to October’s PPS near .025 or higher.
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