Penny stocks have some many distinct advantages over other general stocks when traders are looking for fast profits. They react quickly to news and because they are low-cost, their percentage gains are much larger than large-cap stocks. When trading these kinds of stocks, penny stock news is important because it can bring added attention. One biotech penny stock that is seeing this exact volume is Palatin Technologies (PTN Stock Report).
Who Is Palatin Technologies (PTN)?
Palatin Technologies is a biotechnology company that creates treatments involving the controlling of melanocortin and natriuretic peptide receptor systems. One of Palatin’s products, Vylessi, aims to treat hypoactive sexual desire disorder. They currently have 6 drugs in the pipeline covering diseases from obesity to bowel disease to cardio disease.
Understanding the Move For This Penny Stock
On June 21st, Palatin Technologies announced that they received FDA approval to officially start marketing their Vyleesi drug. This penny stock news alone is enough to build excitement around PTN stock. However, there was additional news that came regarding the FDA. As a result of the FDA approval, Palatin received a $60 million payment from its North American license agreement.
“This FDA approval means that premenopausal women with HSDD now have a safe and effective, as-needed treatment option available to them. The Vyleesi approval is an important milestone for Palatin’s employees and shareholders. It reflects our commitment, ability, and dedication to the discovery, development and regulatory approval of novel products with significant unmet medical need and commercial potential.”Carl Spana, President and CEO of Palatin
This news has already brought fruitful returns for those invested in Palatin Technologies. During post-market trading on June 21, the stock price shot up from $1.325 to a high of $2.21. This represented a jump of more than 50%. With the increased volume that was present in premarket trading on June 24th, could the biotech penny stock look to make further gains?