Ekso Bionics Holdings Inc (OTCMKTS:EKSO) Making A Comeback

Ekso Bionics Holdings Inc (OTCMKTS:EKSO) is one of the most compelling names trading on the OTC markets. However, its shares have been weighed down by a new share offering that was completed last year. Ekso raised $15 million at $1.01 per share. Although it is nice for the company to get $15 million, the additional shares and warrants dilute existing shareholders. Shares were priced at $1.01 and warrants at $1.25. Ekso will have $26 million to continue its R&D efforts and expansion plans. Since 2005, Ekso has invested over $60 million in its technology. Since EKSO has been public, it has attracted a loyal and devoted shareholder base. On our last article back in February, one shareholder said:

"I invested into EKSO stock long. The thing I like about Ekso (besides the Socom TALOS uniform) is that they have active assist. The suit senses and responds to motions hundreds of times per second. In this way, I think it will be much more effective for people who can do part of the work of walking (stroke and ms patients particularly). Furthermore the company is researching with UCLA in non invasive spinal cord stimulation, hoping to regrow and retrain nerves by delivering slight impulses to the spine while walking. The technique has already partially restored (with electrical stimulation active) motor control to a fully paralyzed (at least his legs) man, Mark Pollock. Other companies are trying to replace wheelchairs all at once, whereas EKSO is happy with its device being expensive, but shared at rehabilitation centers. I think this is a very smart move (much like how tesla started off very pricey and super high tech and then got less expensive. The other option is something like trying to keep upgrading an electric golf car, which clearly didn’t get the other car companies much drive."

The latest news from EKSO is that it has received clearance from the FDA to market its Ekso GT robotic exoskeleton for use in the treatment of individuals with hemiplegia due to stroke, individuals with spinal cord injuries at levels T4 to L5, and individuals with spinal cord injuries at levels of T3 to C7 (ASIA D), in accordance with device’s labeling. The Ekso GT is the first exoskeleton cleared by the FDA for use with stroke patients. It enables individuals to stand up and walk over ground with a full weight bearing, reciprocal gait in a clinical setting. To date, the Ekso has helped patients take more than 41 million steps in over 115 rehabilitation institutions around the world. This clearance from the FDA is a big step, especially when you consider that each year, an estimated 375,000 people suffer a spinal cord injury globally and an estimated 17 million people suffer a stroke. Over 60% of acute stroke survivors are unable to walk or need intervention in walking.Revenues for the fourth quarter of 2015 increased $0.5 million, or 31%, to $1.9 million compared to the same period in the prior year. For 2015 revenues increased by $3.4 million, or 63%, to $8.7 million compared to $5.3 million in the prior year. Gross profit for the year was $1.2 million compared to $1.6 million for 2014.Currently trading with a market cap of $90 million, EKSO is an exciting story among micro caps. What we believe is holding the company back is the company's history of losses and burning through investor money. While the company does have probably the best technology on the market, it needs to start producing earnings. If not, the best bet might be a sale to a bigger player that can take the company to the next level. We'll be watching closely to see what new CEO Thomas Looby can accomplish. He has been with the company since April 2014, so he knows EKSO inside and out. Now that he's in the CEO's chair, we're hoping he can accomplish what former CEO Nathan Harding couldn't. We will be updating Insider Financial as soon as we know more. For continuing coverage on EKSO, sign up for our free newsletter today and get our next hot stock pick!Disclosure: We have no position in EKSO and have not been compensated for this article.