Biotech Penny Stocks To Watch This Week
We’ve seen many different penny stocks in many different sectors take off this week. There’s also been a mass scramble for unrelated stocks that simply have a similar business location. Sounds weird, I know. But let me explain. Earlier this week, there were a few low-float penny stocks that saw explosive moves and have since declined. However, that triggered the search for similar or “sympathy trades”. Where some sympathy trades involve industry similarities, this latest trend simply focused on low float China-headquartered companies.[Read More] Investing In Penny Stocks & How To Day Trade
There were a few low float Chinese energy stocks that took off on Monday, which then just turned into low float Chinese penny stocks. At the end of the day, the market will do what it does. As a disclaimer, if you are trading any of these, it’s important to understand that volatility and hype are playing a big role right now. So if you’re not used to trading stocks with wild swings, you might want to adjust your style to meet your risk profile. Aside from this recent fad, we’ve also got bigger sector strength coming from small-cap biotech stocks.
Biotech Penny Stocks Fueled By Latest M&A Activity
If there’s one things that’s certain is that no matter what the flavor of the day is in the stock market, healthcare and biotech usually have some piece of the spotlight. Aside from coronavirus vaccine stocks, we’ve seen many companies involved with oncology and pain management gain traction in the stock market recently. With that, we’re also seeing several new mergers and acquisitions involving small-cap names.
Cleveland BioLabs (CBLI Stock Report) was the most recent one we discussed this week. On that merger news alone, shares of CBLI stock jumped from around $2.15 on Monday to highs of over $5.40 by Tuesday morning. Whether or not that bullishness continues is up to the market at this point. However, those traders who capitalized on the move saw upwards of 150% increase overnight. With so much excitement in the arena right now, are any of these higher volume penny stocks on your list this week?
Biotech Penny Stocks To Watch: GT Biopharma Inc.
GT Biopharma Inc. (GTBP Stock Report) has been one of the top biotech penny stocks to watch recently. It began experiencing stronger trading volume in late-September. This coincided with the company’s announcement on results of its Dose Level 3 in a Phase I/II trial of GT’s acute myeloid leukemia treatment, GTB-3550. Not only did the company find a favorable outcome to this dose, but it also said the patient will be retreated with an additional round of GTB-3550 therapy at the 25mcg/kg/day dose.
GTB-3550’s interim results were also selected for presentation at the 62nd (ASH) American Society of Hematology Annual Meeting. The company has pointed out that in addition to the presentation, “your abstract will also be published online in November supplemental issue of the journal Blood”. The first publication will be in the online ASH meeting program on November 5, 2020.
This isn’t the only treatment the company has. In fact, the platform its built on, TriKE™,has been evaluated in ovarian, breast, prostate, pancreatic ductal adenocarcinoma and lung cancer models. In light of this, the company recently brought on new Advisory Board members to help expand the therapeutic indications for TriKE ™ to non-hematologic cancers such as prostate.
Since these developments began hitting the news wires, GT Biopharma stock has seen a strong surge in trading activity. If this is on your list of penny stocks right now, keeping all of these in mind, in addition to its upcoming presentation could be important.
Biotech Penny Stocks To Watch: Astrotech
Astrotech (ASTC Stock Report) isn’t the purest of biotech stocks to watch. However, the recent news from the company does place it within arm’s reach of the sector. Tuesday, the company announced its BreathTech subsidiary signed a joint development agreement with Cleveland Clinic. The deal explores leveraging Astrotech’s BreathTest-1000™ mass spectrometer to rapidly screen for COVID-19 or related indicators.
The company said that the goal is to develop a non-invasive device that will use breath samples to identify COVID-19 strains. Astrotech said that there could also be potential to provide a low-cost, self-service screening option that could be deployed on a large-scale.
“This technology has the potential to make COVID-19 testing more accessible and rapidly available as well as to guide critical therapeutic decisions.”Raed Dweik, M.D., Chairman of Cleveland Clinic’s Respiratory Institute.
If you’re looking for low float penny stocks, ASTC could be the definition of exactly that. The outstanding share count is less than 10 million. It is also one of the thinnest traded penny stocks on the list. If ASTC stock is on your list be well-aware that low float penny stocks can be incredibly volatile. That means big swings up as it saw after hours, and big swings down as it saw earlier this year.
Biotech Penny Stocks To Watch: Sesen Bio Inc.
Unlike Astrotech, Sesen Bio Inc. (SESN Stock Report) has been in a more consistent and active uptrend for the last few weeks. SESN stock was trading around $0.70 in June, double-topped at a high of $1.54, and pulled back in early October. Over the last 6 trading days, SESN shares have treaded water around its 50-day moving average. Tuesday’s action saw a nice reversal in price and bullish volume. A fair amount of that momentum came during the last few hours of the trading session.
Now, there weren’t any headlines to go along with this move today. However, this week, Sesen did make some headlines along with Cardinal Health. The two agreed to an exclusive deal for Sesen to receive third-party logistics and specialty pharmaceutical distribution services. These will be related to the commercial distribution of Vicineum in the United States. Vicineum (VB4-845) is currently in the follow-up stage of a Phase 3 registration trial. VB4-845 is used for the treatment of high-risk, Bacillus Calmette-Guerin unresponsive, non-muscle-invasive bladder cancer.
Last December 2019, Sesen initiated the BLA submission for Vicineum to the U.S. FDA under Rolling Review. Dr. Thomas Cannell, president, and chief executive officer of Sesen Bio, explained, “Partnering with Cardinal Health for both 3PL and specialty pharmaceutical distribution services provides us with an integrated distribution solution. In addition to Fujifilm and Baxter, the Cardinal Health relationship completes the selection of major supply chain partners in support of the commercial distribution of Vicineum. We are now confident that the supply chain will be ready to support the potential commercial launch of Vicineum in mid-2021.”
Biotech Penny Stocks To Watch: Oncocyte Corp.
Oncocyte Corp. (OCX Stock Report) is another one of the more volatile biotech penny stocks to watch recently. Obviously, earlier this year, OCX stock left a bad taste in investors’ mouths. The penny stock ended up plummeting from nearly $3.50 to lows of $1.20 within just a few days. Its DetermaDx clinical validation study didn’t achieve a pre-defined endpoint of improvement over routinely used clinical factors. This was for managing patients with radiologically identified lung nodules.
Fast-forward to this week and DetermaDx is once again back in the headlines. This time around, however, it isn’t necessarily in a negative light. On Tuesday afternoon the company announced 3rd quarter growth of DetermaRx testing and physician adoption.
“Our compelling new prospective data demonstrate that treatment informed by DetermaRx significantly improves lung cancer patient survival, and we believe this test could be practice-changing, potentially guiding the use of not only chemotherapy but also the use of targeted therapies in the future.”Padma Sundar, Head of Commercial at Oncocyte.
The company explained that it has seen rapid adoption in its first year of launch across 67 hospitals. These include the National Comprehensive Cancer Network and National Cancer Institute cancer centers. In light of this update, OCX stock traded higher during the aftermarket session on Tuesday. Will that see more follow-through on Wednesday? Comment below.