Even by the recent standards of frequently high-flying coronavirus stocks, OPKO Health (NASDAQ:OPK) soared on Tuesday. Investors were cheered by the healthcare company's latest coronavirus testing deal in the professional sports arena.
Jon Cohen, the executive chairman of the company's busy BioReference Laboratories diagnostics subsidiary, disclosed in a TV interview Monday on CNBC's Mad Money that BioReference had agreed in principle with the National Football League to provide coronavirus testing for all 32 of its teams.
In a subsequent regulatory filing, OPKO wrote that "[t]he foregoing agreement in principle with the NFL remains subject to definitive documentation and the parties' execution and delivery thereof." The company has not divulged either the terms or the price of the arrangement.
BioRefence/OPKO seems to be rapidly becoming the go-to coronavirus diagnostics provider in big-ticket athletics.
Last Monday, OPKO announced a similar deal for the National Basketball Association's players, referees, and team and league staff taking part in the league's "season restart" in Orlando, Florida.
That closely followed OPKO's July 9 announcement that it would provide testing for Major League Soccer, again for team members, match officials, and league staffers.
As with the NFL deal, the company hasn't made public the terms or financials of either arrangement.
Of the contract with the higher-profile NBA, OPKO quoted BioReference's Cohen as saying that "[s]imilar to testing for employers trying to get their employees back to work, professional sports entertainment is another integral part of the everyday American experience."
OPKO got a standing ovation from the sidelines for this latest deal. On Tuesday, the stock soared far above the gains of the wider stock market, closing nearly 21% higher.