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HeartBeam Shares Surge Over 40% as Company Maps Out FDA Strategy

MarketDash Editorial Team
11 days ago
HeartBeam stock jumped more than 40% after hours as the medical tech company outlined its plan to address the FDA's rejection of its 12-lead ECG software, with management expressing confidence in resolving regulatory concerns.

HeartBeam Inc. (BEAT) had a wild Wednesday evening, with shares rocketing 40.75% higher in after-hours trading to $0.85. The catalyst? The Santa Clara-based medical technology company laid out its game plan for dealing with the Food and Drug Administration's recent rejection of its 12-lead Electrocardiogram Synthesis Software.

What Happens Next

When the FDA says "Not Substantially Equivalent" (NSE), it's basically the regulatory equivalent of "we're not convinced this is similar enough to what's already out there." But HeartBeam isn't throwing in the towel. The company has options on the table, including filing a formal appeal or going the 510(k) resubmission route, which would attempt to demonstrate that the device is substantially equivalent to products already legally marketed.

Here's the timeline that matters: if HeartBeam goes the appeal route, the formal procedure takes roughly sixty days from submission. The company says it's had constructive conversations with FDA review staff since receiving the NSE letter, which is encouraging.

The Clinical Case Still Holds

One important detail: the underlying science hasn't changed. HeartBeam's VALID-ECG clinical study hit all the endpoints the company and FDA had agreed upon beforehand. That's significant because it means this isn't about whether the technology works.

CEO Robert Eno struck an optimistic tone in the company's statement: "Since the remaining concerns from the FDA are well defined and can be readily addressed by our team, we believe these paths can lead to a favorable resolution."

The Bigger Picture

Context matters here. While after-hours investors clearly liked what they heard, HeartBeam has had a brutal year. The stock is down 74.31% in 2024, trading in a 52-week range between $0.54 and $3.48. The company's market cap sits at just $23.66 million.

Regular trading hours Wednesday saw BEAT close at $0.60, up a modest 3.62%. The after-hours surge suggests investors believe management can navigate the regulatory pathway, but it's worth noting the stock remains deeply in negative territory across all timeframes.

Back to News

HeartBeam Shares Surge Over 40% as Company Maps Out FDA Strategy

MarketDash Editorial Team
11 days ago
HeartBeam stock jumped more than 40% after hours as the medical tech company outlined its plan to address the FDA's rejection of its 12-lead ECG software, with management expressing confidence in resolving regulatory concerns.

HeartBeam Inc. (BEAT) had a wild Wednesday evening, with shares rocketing 40.75% higher in after-hours trading to $0.85. The catalyst? The Santa Clara-based medical technology company laid out its game plan for dealing with the Food and Drug Administration's recent rejection of its 12-lead Electrocardiogram Synthesis Software.

What Happens Next

When the FDA says "Not Substantially Equivalent" (NSE), it's basically the regulatory equivalent of "we're not convinced this is similar enough to what's already out there." But HeartBeam isn't throwing in the towel. The company has options on the table, including filing a formal appeal or going the 510(k) resubmission route, which would attempt to demonstrate that the device is substantially equivalent to products already legally marketed.

Here's the timeline that matters: if HeartBeam goes the appeal route, the formal procedure takes roughly sixty days from submission. The company says it's had constructive conversations with FDA review staff since receiving the NSE letter, which is encouraging.

The Clinical Case Still Holds

One important detail: the underlying science hasn't changed. HeartBeam's VALID-ECG clinical study hit all the endpoints the company and FDA had agreed upon beforehand. That's significant because it means this isn't about whether the technology works.

CEO Robert Eno struck an optimistic tone in the company's statement: "Since the remaining concerns from the FDA are well defined and can be readily addressed by our team, we believe these paths can lead to a favorable resolution."

The Bigger Picture

Context matters here. While after-hours investors clearly liked what they heard, HeartBeam has had a brutal year. The stock is down 74.31% in 2024, trading in a 52-week range between $0.54 and $3.48. The company's market cap sits at just $23.66 million.

Regular trading hours Wednesday saw BEAT close at $0.60, up a modest 3.62%. The after-hours surge suggests investors believe management can navigate the regulatory pathway, but it's worth noting the stock remains deeply in negative territory across all timeframes.