Shares of the developer of a blood drop cancer test soared 25% in a day. What's going on?

Quotes of VolitionRx, a micro-cap developer of a blood drop test for cancer and sepsis, soared nearly 26% on February 25. The company said: it has discovered a new method for detecting cancer that has already sparked interest from potential partners, and it also touted breakthrough research results of detecting lymphoma in cats. Wall Street thinks VolitionRx securities have the potential to rise nearly 790%.

VolitionRx shares rose nearly 26% to $0.24 on Wednesday, February 25 on the New York Stock Exchange. The stock was adding about 4% more at the premarket on February 26. Investors reacted to the company's announcement in which it outlined new developments, progress in clinical trials, and shared plans to commercialize its products.

Specifically, the company said it has discovered a new method and new biomarkers for cancer detection. They can be used to create accurate and inexpensive tests, writes VolitionRx.

In addition, the company expects to begin selling its other two tests, for cancer and sepsis, in 2026. In the fourth quarter of 2025, the company received its first order for Nu.Q Cancer tests from France, and in January began preparing an application for the tests to be included in standard practice, which implies their insurance coverage.

Another area of business development for VolitionRx is related to oncology tests for veterinary use, according to its announcement. A new clinical trial showed: its assay detected more than 80% of feline lymphoma cases with no false positives. The company called this result a breakthrough.

The Micro-cap developer writes that it is now in talks to license its designs to about ten diagnostics companies, with plans to announce more agreements in 2026.

Through these deals, VolitionRx will be able to receive upfront and milestone payments. The company does not name specific amounts, but it estimates the potential market for low-cost cancer tests alone at about $23 billion.

The company had previously released much of this news, but investor reaction to it was more subdued.

Founded in 2010, VolitionRx says its goal is to "transform cancer and sepsis diagnosis from an expensive, invasive and often unpleasant procedure to something as quick and accessible as a cholesterol or pregnancy test." So the company has set about developing technology that can detect cells dying off in a number of diseases from just a few drops of blood. The invention was called Nu.Q and became the basis for all of the company's tests for both humans and animals.

VolitionRx has not yet published its 2025 financials. At the end of the third quarter, it reported 32% year-on-year revenue growth to $0.6 mln.

In February, the company reported that it did not meet the NYSE's equity capital requirements. The exchange ordered it to submit a recovery plan by March 8, otherwise its securities will be delisted.

Since the beginning of the year quotations of VolitionRx fell by 6.5%. However, Wall Street analysts rather believe in the company's prospects: its securities have four "buy" ratings from analysts against one "hold" recommendation. The average target price is $2.13, which is almost 8.9 times the value at the close of trading on February 25.