There are hardly any other sectors that can lay claim to the sort of growth that has been witnessed in biotech stocks. This has been the case over the past decade or so and the sector is still growing.
In a growing sector, the possibility of finding gems among penny stocks is endless. It’s no different when it comes to the biotech space. Here is a look at some biotech penny stocks to watch in July.
Biotech Penny Stock To Watch #1:
Flex Pharma (FLKS)
It seems the market knows something about Flex Pharma Inc (NASDAQ:FLKS). The stock has soared by as much as 15% recently without any news. In fact, FLKS stock is up over 45% this week.
In May, the Boston based biotech firm reported that it had made a loss of $2.2 million in Q1 2019. Revenues came in at $105,000 while and at the time the shares had slumped below 50 cents. The company’s been going through a proposal process for a merger with Salarius Pharmaceuticals, which is an oncology company.
Despite “overwhelming support” the company has hit some hurdles in the process. However, the analysts covering the company, like HC Wainwright’s Andrew Fein say, “I think we’re just getting nearer to the closing of the Salrius/Flex reverse merger.” So this will be something to watch closely this month.
Biotech Penny Stock To Watch #2: Verastem (VSTM)
The other biotech penny stock to watch is Verastem Inc (VSTM Stock Chart). Shares of the oncology company surged by as much as 10% and have continued higher on Friday. Although there has not been any news this week, it’s important to note a few things.
On June 24, Verastem stated that there was positive news regarding it leukemia drug Copkitra. In the Phase 1 study of the drug showed that there was compelling activity and it goes without saying that it proved to be a positive for Verastem. The stock had soared at the time as well.
Biotech Penny Stock To Watch #3:
Moleculin Biotech (MBRX)
On Wednesday, Moleculin Biotech Inc(MBRX Stock Chart) announced that it had submitted patents for its investigational drug annamycin. The medicine in question is meant to treat acute myeloid leukemia.
If the company is awarded the patent, then it will have the rights to reconstitution as well as production. Moreover, the medicine will get the protection that would span two decades. Once the news broke, the trading volume for the MBRX stock rose significantly.
Biotech Penny Stock To Watch #4:
The other Biotech penny stock that went up significantly in recent days was that of Curis, Inc. (CRIS Stock Chart), which gained 10% but at the same time, there was no news regarding the company that could have triggered such a rally. CRIS stock is one of the biggest biotech stock gainers this year with a move of about 175%.
The stock is trading well above its 50-Day moving average price of $1.67. Considering the latest price movement, CRIS’ stock looks to be in the breakout zone and it would be interesting to see if the stock would be able to cross its 52-week high of $2.65.
Back in May, the Massachusetts-based biotech firm announced its results for Q1 2019 and recorded losses to the tune of $9.9 million. On the other hand, the revenues stood at $2.1 million.