Here's Why ViewRay Inc. Stock Isn't Looking Too Good Today

Shares of ViewRay Inc. (NASDAQ: VRAY), the manufacturer of MRIdian (a system for radiation therapy delivery that uses magnetic resonance imaging), dropped this week after the company was the subject of a negative report published on Seeking Alpha on Thursday morning. Despite some otherwise positive news, the stock is down about 8.4% as of 12:20 p.m. on Friday, and about 17.9% for the week. Because of their small size, companies like ViewRay can experience wild stock-price swings on individual reports; that’s a risk when investing in small businesses.

Developing devices and drugs to fight cancer is an uphill battle even for companies with the sturdiest legs, and it doesn't take much to weaken investor confidence. This is why an investor with a disclosed short position was able to move shares of ViewRay Inc. south with a scathing report -- of more than 14,000 words -- that dives into more issues than I could possibly address here.

Image source: Getty Images.

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Source: Fool.com