Why Mazor Robotics Is Tanking Today – Motley Fool

What happened

Shares of Mazer Robotics(NASDAQ:MZOR), an Israeli-based robotic-surgery company focused on diseases of the spine and brain, fell by 11% in afternoon trading on Thursday.

Mazor released anSEC filing today stating that the Israeli Securities Authority (ISA) conducted a search at the company's office. The ISA is also questioning "certain officers" in connection with aninvestigation being run by the agency.

Mazor's response to this news was brief: "Mazor has not been informed as to the subject matter of the investigation, nor has it been charged with any wrongdoing. Mazor is cooperating fully with the ISA."

As expected, a numberof law firms have already announced their intention to conduct investigations on behalf of shareholders to see ifMazor has misled the public.Given the unexpected news, it's easy to understand why traders are selling off shares today.

Image Source: Getty Images.

Without any additional information, it's hard to know what to make of today's news. It's possible that we could learn a great deal more about this situation tomorrowas CEO Ori Hadomi is scheduled to give a presentation at theJefferies 2017 Global Healthcare Conference at 8:00 a.m. EDT. While the conference is invitation only, a webcast is going to be published on the company's website.

While this news is certainly unsettling, I'm personally still abeliever in Mazor's products and long-term potential. For that reason, I'm content to sit tight until more news surfaces.

Brian Feroldi owns shares of Mazor Robotics. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.

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Why Mazor Robotics Is Tanking Today - Motley Fool