EYES stock – Should you second guess buying Second Sight?

If you’re looking for a new investment option, you may want to check a pair of stocks from EYES. It’s one of those promising tech companies offering a great new gadget for health. Specifically, it’s allowing the blind to see once again!

At first glance, this seems like a must-buy for your portfolio. Still, you will have to know more about Second Sight Medical Products inc. and its offerings. That way, you can get more insights to help you make the best investment decisions.

That’s why we will start by talking about the Second Sight company and explaining how its signature product works. Then, we will go through the latest news regarding this firm such as its recent stock price and market cap. As a result, you’ll know if you should buy EYES stock or not.

What is Second Sight Medical Products Inc.?

Photo Credit: massdevice.com

The company specializes in developing, manufacturing, and marketing implants for visually-impaired people. Second Sight started in the minds of Dr. Sam Williams and Dr. Alfred Mann.

In 1998, they expanded the team by working with Aaron Mendelsohn, Gunnar Bjorg, and Dr. Robert Greenberg. Then, Second Sight Medical Products Inc. received regulatory approval in 2011.

It finally gained FDA approval in 2013. You can find the headquarters in Sylmar, California. Second Sight Medical Products markets implantable prosthetic devices and their internal and external components.

Specifically, the company generates revenue from the sale of its Argus II. It is an implanted cortical stimulation device that delivers electrical stimulation to a person’s eye.

This works for people with various conditions that cause sight impairments, such as diabetic retinopathy, optic nerve injury, glaucoma, and other outer retinal degenerations.

As a result, the Argus II provides an artificial vision for sight-impaired individuals. You can see why people would find stock from Second Sight Medical Products Inc. appealing.

Many people take a lot of things for granted, such as their ability to see. On the other hand, folks who’ve spent years without sight would love to have it.

Blind individuals would be willing to spend as much money as possible on these implantable visual prosthetics. As a result, this may result in massive profits for Second Sight Medical Products.

If you check the company’s webpage, you’ll see many testimonials from satisfied customers. They recount how the Argus II opened new ways to live their lives to the fullest.

Issues with Second Sight Medical Products

After hearing all this, you might be eager to include stock from Second Sight Medical Products Inc. in your portfolio. After all, the Argus II is a promising key revenue source for it.

In turn, this should be a clear win for its investors, right? Sadly, picking the right investments isn’t that simple. Take Inovio (INO) stock as an example.

It made a new type of COVID vaccine that doesn’t use needles. At first glance, it should be an instant buy because there’s a huge demand for COVID drugs.

On August 19, 2021, INO stock was $8.45 each. At the time of writing, it dropped to $2.97. Product use-cases and demand don’t make certain company shares a must-buy.

That’s why you should check various factors when choosing assets. Let’s look at the recent developments from Second Sight Medical Products Inc.:

Some patients go blind again

Early adopters of a retinal implant for the #blind were caught by surprise when Second Sight discontinued the tech and then almost went bankrupt. #bionic #vision https://t.co/7PG0SoDyEr

— IEEE Spectrum (@IEEESpectrum) February 15, 2022

This is a big issue for Second Sight Medical Products. It discontinued the Argus II in 2019 to make way for a new technology called the Orion. Unfortunately, this left the current users in the dark.

You may take this in the literal sense, as their implants eventually failed. One patient lost vision in her left eye while walking down a subway station.

Meanwhile, another reported seeing flashes of light that got in the way of her daily activities. This is why she stopped using the gadget from Second Sight Medical Inc. after two years.

At the time of writing, many users still have not received upgrades or assistance with their implants. This may also cause investors to second guess buying stocks from Second Sight Medical Products.

Read More: The Best Growth Stocks Right Now

Health insurance issues

Second Sight’s Bionic Eye Implant Approved in the United States http://t.co/Ss1hlVuf >@TechReview #Vision

— UC San Francisco (@UCSF) February 15, 2013

The Argus II implants cost around $115,000 to $150,000. That’s a steep price for most people, so they would likely need health insurance for this.

Second Sight Medical Products Inc. says patients may reimburse the Argus II through most Medicare Administrative Contractors (MACs). They must consult a doctor about it first.

The physician will run tests to confirm that the Argus II suits you. After that, Second Sight Insurance Specialists will work with your insurance provider to find the best coverage.

Sadly, this makes things more complicated. At the time of writing, people still find it hard to use the health insurance system. Here are the common reasons why they’re uninsured:

• High health insurance costs
• Frictional uninsurance or the lack of coverage because a person lost or changed their job.
• Some people can’t access employer-sponsored insurance or ESI
• Others can’t get coverage because of their age or student status.

Without insurance, they may not afford the implant from Second Sight Medical Products. Strangely, a patient with health insurance may face the same problem.

They may not be able to afford the numerous costs of the medical device. In turn, this may not bode well for EYES stock. A company’s performance is a huge factor in the stock price.

If Second Sight Medical Products Inc. struggles, so will its shareholders. That’s why you should take a closer look at its market data, such as the EYES stock price and market cap.

Should you invest in EYES stock?

The sight-restoring implant made by Second Sight is the most advanced prosthetic to date. http://t.co/FVtuf0bP

— MIT Technology Review (@techreview) February 16, 2013

Aside from looking at the company, you must also look at the stock data. Looking at its past performance on the charts will help you see if this is a promising investment.

At the time of writing, the EYES stock price was $1.20 while its market cap was roughly $56.75 million. It has lost 8.46% of its value last month and 39.59% within a year.

Looking at other stocks, you will often notice similar price declines. That’s because the stock market has been highly volatile during the pandemic. The lockdowns in various countries have made importing and exporting goods difficult.

People have been stuck at home for too long as they’ve lost their jobs. They worked for businesses that provided many commodities, but they’re now closed.

Also, consumers are having trouble meeting their basic needs. They’ve lost their source of income, so they have less money to spend on such things.

The lack of disposable income, supply chain issues, and business closures were already bad enough by themselves. Unfortunately, the Ukraine-Russia conflict was brewing at the time of writing.

This has several consequences for the average consumer, such as skyrocketing gas prices and overwhelming inflation. On the other hand, investors are becoming increasingly nervous about all this.

That’s why you can find many stocks that have significantly dropped in value recently. Could this be the time to take advantage of the low prices? Perhaps you should stay away from stocks?

You will have to figure this out on your own. Have an investment plan and study your options before you buy stock from Second Sight Medical Products.

How to invest during periods of uncertainty

You will also have to understand how economies work in light of recent events. Take the COVID-19 pandemic as an example. Countries imposed lockdowns to stop its spread.

However, this came at the expense of global economic activity. Many businesses closed down, so millions of people lost their livelihoods. The absence of these companies made it harder to acquire various commodities.

What’s more, countries limited travel and trade among each other. As a result, we see more products and services significantly increasing their prices.

Meanwhile, the Ukraine-Russia conflict has been making petrol and other products even more expensive. There have been promising developments for both the COVID-19 pandemic and this war.

Still, this might be short-lived. For example, the Omicron BA.2 variant is causing new outbreaks in the United States, the United Kingdom, and China.

Meanwhile, the stock market rallied after the recent Ukraine-Russia talks looked promising. You might even see this reflected in the current price of EYES stock.

Russian troops have even pulled back from certain Ukrainian regions. However, the White House released a warning that “no one should be fooled” by this action.

Check other articles regarding stocks and other investments, and you’ll notice the overall sense of uncertainty. Does this mean you shouldn’t invest anymore?

You may still add new assets to your portfolio, but you should be wary of the increased risks. These ongoing issues prove that you cannot time the market.

We can’t know for sure if the coronavirus pandemic won’t return, and we cannot guarantee that lockdowns won’t happen again. The conflict may reignite once more without warning.

That’s why you should be sure about your investment goals and options. This is when diversification may truly help in maximizing rewards and cutting losses.

More importantly, you should keep in mind that you may experience significant losses. If you’re willing to take on such risk, then you may look forward to long-term profits.

Final thoughts

Second Sight has a great technology that improves the lives of the blind. On the other hand, various factors could make its EYES stock unappealing for investors.

Note that this article is not meant to provide investment advice. Speak to a financial advisor if you’d like a second opinion about Second Sight shares.

Also, make sure to check out more Inquirer USA articles. They can keep you up-to-date with the latest in finance and everything else worldwide.