Are These Biotech Penny Stocks On Your Watch List Right Now?
While there is no “remdesivir stock”, a breakout in Gilead stock has turned attention to biotech; more specifically biotech penny stocks. Thursday afternoon the company announced the U.S. FDA approved the antiviral drug Veklury®, a/k/a remdesivir, for the treatment of patients with COVID-19 requiring hospitalization.
Veklury now becomes the first and only approved COVID-19 treatment in the United States. This news obviously acted as a significant catalyst for Gilead stock price after it was released. Shares of GILD closed the regular session at $60.67 then promptly exploded to highs of $64.50 just as the news broke.
Does this signal an end to coronavirus stocks? In my opinion, not likely. While there’s one treatment right now, the fact remains that other diseases don’t have just one treatment. Furthermore, the specifics of this are for patients requiring hospitalization. Now, whether or not there will be an off-the-shelf option someday might be a bit extreme.
However, this marks a good first step in addressing this illness. In light of this, the upswing in GILD stock has also triggered a focus on biotech stocks in general. As we know, however, when biotech is getting bullish, the small cap stocks tend to reflect that sentiment the most.
Biotech Penny Stocks To Watch
- GT Biopharma Inc. (GTBP Stock Report)
- Selecta Biosciences Inc. (SELB Stock Report)
- ADiTx Therapeutics Inc. (ADTX Stock Report)
- Akebia Therapeutics Inc. (AKBA Stock Report)
- Mustang Bio Inc. (MBIO Stock Report)
Something to consider is that biotech traders have seen a bit of a rotation in the sector as a whole. Where we saw traders focusing the bulk of their attention on coronavirus penny stocks, a new or renewed trend now targets other therapies. Anything from pain management and immune therapies to new-age treatments for neurological diseases via psychedelics.
You name it, the early surge of interest that got traders looking at COVID stocks in the first place has now turned into a brand new crop of biotech traders, in general. So where should the focus be now? As they say, the trend is your friend and the world is your oyster. Basically, there are a lot of options in biotech right now and Gilead’s latest remdesivir news might’ve been just the thing to stoke the fire.
Biotech Penny Stocks To Watch #1: GT Biopharma Inc.
If there’s one company that has continued to make progress, it’s been GT Biopharma Inc. most recently. Take a look at the company’s 1 month chart and you’ll see a noticeable jump in momentum. What’s more, is that this move didn’t come without its share of fundamental catalysts. Both the company’s TriKE™ platform and treatments utilizing it such as GT’s lead treatment, GTB-3550 have been sources of focus.
TriKE™ itself has been evaluated in ovarian, breast, prostate, pancreatic ductal adenocarcinoma, and lung cancer models. The company also recently brought on new Advisory Board members to help expand the therapeutic indications for TriKE ™ to non-hematologic cancers such as prostate. While several advancements have been made with the platform itself
GTB-3550 is the company’s treatment for acute myeloid leukemia built on the TriKE™ framework. Not only has GT recently reported favorable dose level 3 results in its GTB-3550 Phase I/II trial, but the company was also chosen to present an abstract about the treatment at the upcoming American Society of Hematology Meeting in December. What’s more, is that there will also be an abstract published online in the November supplemental issue of the journal Blood on the 5th.
Recent Developments To Note With GT Biopharma Inc.
Remember, GTB-3550 is built on a platform that has numerous indications for other diseases. In its most recent update, GT Biopharma reported that the publication of “NK-Cell-Mediated Targeting of Various Solid Tumors Using a B7-H3 Tri-Specific Killer Engager In Vitro and In Vivo” in the journal Cancers. The findings presented indicate that a B7H3-targeted TriKE™ has the potential to enhance natural killer cell immunotherapy in solid tumor settings, and “supports its further clinical development”.
In light of these developments, GTBP stock has managed to climb nearly 60% since September 23rd. As you can see, the $0.25 level continues to get tested on the upper end of its recent channel. Four of the last nine trading days saw GTBP stock test this level.
Biotech Penny Stocks To Watch #2: Selecta Biosciences Inc.
Selecta Biosciences Inc. is another one of the companies we’ve covered for the last few weeks. The company dipped after data from its Phase 2 COMPARE trial of its SEL-212 gout treatment missed its primary target. But as we always discuss, when biotech companies miss their endpoints, it’s important to see what the company says. In Selecta’s case, Robert T. Keenan, MD, MBA, MPH, board-certified rheumatologist at Duke University School of Medicine and Principal Investigator of the COMPARE trial explained the potential he saw.
“The Phase 2 COMPARE trial demonstrated that SEL-212 led to a statistically significant reduction of serum uric acid levels versus standard of care in patients suffering from this painful, debilitating disease. I believe that SEL-212 could meaningfully impact the lives of patients and provide a much-needed alternative in the treatment paradigm for patients with chronic refractory gout.”
As you’ll see on the chart, it hasn’t taken long for SELB stock to reclaim that gap down at the start of October. Several fundamental catalysts helped along the way.
Recent Developments To Note With Selecta Biosciences Inc.
Selecta and IGAN Biosciences entered into a research license and option agreement to study Selecta’s ImmTOR™ immune tolerance platform in combination with IGAN’s immunoglobulin A protease for the treatment of IgA Nephropathy. We then saw the company and AskBio receive FDA Rare Pediatric Disease Designation for their gene therapy for methylmalonic Acidemia; several key milestones in a very short time span.
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Most recently, insider buying from Director Timothy Springer did the talking this week. A buy of over 1.8 million shares total could suggest insider optimism. Just to think that this month started with a gap down and now, 22 days later, SELB stock reclaimed that dip and then some.
Biotech Penny Stocks To Watch #3: ADiTx Therapeutics Inc.
ADiTx Therapeutics Inc. has experienced a similar situation as Selecta. However, its recovery seems to have taken a bit longer. Something else to note is that the dip began after the company announced a financing deal. What I think is important to look at on this chart is the recent 5-day volume trend. Since last Friday, ADTX stock has seen a significantly higher level of trading volume compared to previous weeks.
Though the trend this month has been mostly sideways, there have been a few developments to take into consideration. At the start of October, ADiTx launched AditxtEngage™. This is the company’s continuing series of investor opportunities to engage with Aditxt.
Recent Developments To Note With ADiTx Therapeutics Inc.
Aside from that, we’ve seen several amended FORM 4s filed on the 16th showing the exercise of options done by Directors of the company at $1.94 per share. Considering the date of the exercise was on the 13th, these shares were priced right around the current retail price per share at the time. Whether or not that had something to do with the spike coinciding with the move on the 16th is yet to be seen. Regardless, it was a day that seems to have sparked this recent surge in ADTX stock.
Something else to consider is the company’s current deal with Salveo Diagnostics, Inc. Salveo is a CLIA and CAP Accredited laboratory company focused on end-to-end personalized medicine solutions. Through this collaboration, Aditx aims to speed up the launch of its AditxtScore™ platform. The company submitted an Emergency Use Authorization application with the FDA for AditxtScore™ for COVID-19. Aditxt will utilize Salveo’s facilities as a launching pad for commercializing AditxtScore™ starting in Q4, 2020.
Biotech Penny Stocks To Watch #4: Akebia Therapeutics Inc.
Another gap down biotech penny stock to watch is Akebia Therapeutics Inc. It took a tumble back in September after announcing topline data from PRO2TECT, the second of its two global Phase 3 cardiovascular outcomes programs. While the results were positive, the trial didn’t meet the primary safety endpoint.
“We remain confident that we have a path toward potential approval for vadadustat in dialysis supported by positive top-line results for efficacy and safety from INNO2VATE. PRO2TECT delivered positive top-line efficacy results; however, the MACE result presents challenges to achieving our goal of bringing vadadustat to patients in the non-dialysis market. While achieving the MACE endpoint would have made our path here more straightforward, as it is in dialysis, we still believe we have a path toward approval for vadadustat in non-dialysis.”John P. Butler, President and Chief Executive Officer of Akebia Therapeutics.
Recent Developments To Note With Akebia Therapeutics Inc.
If you’ve followed our coverage on the company, you know that this week was an important one for the company. Akebia presents late-stage vadadustat data at the American Society of Nephrology Kidney Week 2020 Reimagined. The dates of the event are October 22nd to 25th. The presentation is titled “Global Phase 3 Clinical Trials of Vadadustat vs Darbepoetin Alfa for Treatment of Anemia in Patients with Non–Dialysis-Dependent Chronic Kidney Disease” (Abstract FR-OR54).
Thursday evening, the company announced the presentation of clinical data from its global INNO2VATE Phase 3 program. It demonstrated the efficacy and cardiovascular safety of vadadustat for the treatment of anemia due to chronic kidney disease in adult patients on dialysis. With this new data out, AKBA stock started climbing after hours on Thursday. Will this mark a further continuation for Friday?
Biotech Penny Stocks To Watch #5: Mustang Bio Inc.
Mustang Bio Inc. hasn’t had the best month so far. Since the 8th, the penny stock has slowly slid lower, finally reaching $2.57 on Thursday. Overall, MBIO stock has been a more volatile trade that hasn’t really set a bullish or bearish trend in the long-run. However, for traders, that volatile has been welcomed as MBIO stock traded in a wide range between $2.95 and $3.80 for the last few months.
Fast-forward a few weeks and MBIO stock has reached some of its lowest levels since May. The Fortress Biotech (FBIO Stock Report) founded company focuses on cell and gene therapies for treating cancer. Right now, the main focus is on its MB-105 for certain prostate cancers.
Recent Developments To Note With Mustang Bio Inc.
While it hasn’t happened yet, this week Mustang presents Phase 1 data on MB-105 at the Prostate Cancer Foundation Scientific Retreat. Specifically, Friday, October 23rd is when the company presents. Considering the fact that the presentation won’t be until late-afternoon eastern, it will be interesting to see how MBIO stock trades. For now, we can see that shares started climbing higher after the market closed on Thursday.