Biotech may currently one of the hottest sectors to invest in. Why? Consider the sort of work that so many companies are engaged in at this point. Some large biotech companies already enjoy rich valuations.
But at the same time, there are smaller companies which might be worth having a look at. That brings us to the topic of biotech penny stocks. Here is a look at three biotech penny stocks worth tracking this month.
Biotech Penny Stock #1
Ovid Therapeutics (OVID)
Ovid Therapeutics Inc (OVID Stock Report) has been in a tearing rally for the past one week and rose by as much as 50% on the back of significantly positive news with regards to its Angelman syndrome treatment medicine OV 101. On 2 July, the OV 101 product had been given the orphan drug designation by the European Commission and that instigated a rally.
However, prior to that, the company had been in a meeting with the FDA and the crucial Phase 3 NEPTUNE trials are going to commence this year. The good news has resulted in the significant rally and made Ovid a biotech penny stock to watch.
Biotech Penny Stock #2
Acasti Pharma (ACST)
Another biotech penny stock that has made a strong move over the past month is Acasti Pharma (ACST Stock Report) and has so far rallied by as much as 50%. On 26 June, the company issued an update on the financials for end of fiscal 2019. Acasti’s flagship product TRILOGY had reached certain important milestones in the Phase 3 trials.
On the other hand, the company’s losses deepened to $51.6 million for fiscal 2019 from $21.5 million in the previous year. Although the company ended with $34.4 million in cash, it stated that it would need to raise more in order to meet its targets.
Biotech Penny Stock #3
Anavex LifeSciences (AVXL)
Last but not least, Anavex Life Sciences (AVXL Stock Report). The biopharmaceutical company has surged by as much as 25% over the last week. This came after positive penny stock news emerged with regard to its medicine ANAVEX®2-73-RS-001 to treat Rett syndrome. The patient who participated in Phase 2 clinical trials for the medicine showed a positive effect. This has become a significant catalyst for AVXL stock.