Social media has now become just as influential as traditional financial media with regard to the stock market.
On Thursday, the Avinger (NASDAQ: AVGR) stock soared by as big as 24% owing to social media chatter with regards to the company. The stock soared yesterday on the back of speculation on Twitter about a patent that could be awarded to Avinger soon. It should be noted that the company has made no official announcement.
However, Twitter users have been feverishly speculating about the patent and that seems to have had an effect on the stock. On the other hand, investors need to be wary about the possibility of a pump and dump scheme perpetrated through social media.
The patent in question is related to an optical pressure sensor and it goes without saying that if it does get awarded then it could be a boost for Avinger. Investors could consider keeping their eyes open with regards to any news about the company’s patent.