3 Biotech Penny Stocks For Your September Watchlist
Are biotech penny stocks worth buying? This is a question that many penny stocks investors wonder about, and the answer is quite clear. Depending on what type of trader you are and what your tolerance for volatility is, biotech penny stocks can be worth it.
But, there are a few ins and outs that all penny stocks investors should know before investing in biotech. For one, biotech penny stocks can be quite volatile. Due to the amount of information these companies put out, and the speculative nature of the industry, prices can move quickly.
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Second, the biotech industry moves fast, and when approval is given or news is put out, prices can change dramatically in a matter of a few hours or a few days. So, understand that whoever gets the news first, will always have a better chance at making money with penny stocks in the biotech sector.
Lastly, there is a large focus on the industry right now as a result of the pandemic. This has helped to bring in billions in capital, and higher volume than usual. So, as we exit the month of August, September could present new opportunities for biotech penny stocks investors of all types. With that in mind, here are three to watch next month.
3 Biotech Penny Stocks to Watch in September 2021
CytoDyn Inc. (OTC: CYDY)
CytoDyn Inc. is a biotech penny stock that is seeing heightened attention right now. For some context, this company creates treatments for various therapeutic indications based on leronlimab, which is an antibody that targets the CC5R5 receptor. The company additionally has developments for addressing the needs of those with cancer, HIV, COVID-19, and other diseases.
On August 13th, the company received FDA guidance for its HIV BLA dose justification report. While the FDA did not initially approve, the company believes that all of the issues are addressable. CytoDyn plans on its BLA resubmission to take place as early as September 2021. This is great news for investors as BLA’s are always exciting if approved. While this may seem like a setback, the FDA often gives updates along the way to approval. For this reason, investors may want to keep up to date with this event.
“This is an exciting period for CytoDyn. With the continuation of the BLA resubmission, the near-term initiation of two important COVID-19 trials in Brazil, and possibly a strong clinical trial in the U.S. for COVID-19 long-haulers, the next two to three months could be transformative for the Company.”President and CEO of Cytodyn, Nader Pourhassen
So as we move forward, this will be an exciting and potentially impactful event for investors to stay up to date with. So, as August continues to roll on, will CYDY stock make your watchlist?
9 Meters Biopharma Inc. (NASDAQ: NMTR)
9 Meters Biopharma Inc. is a biotech penny stock that just went up in the market. In the past five days, shares of NMTR stock have shot up by around 4%. Over the past YTD, shares of NMTR stock have pushed up by over 30% is quite substantial. If you’re not familiar with this company creates products for patients with gastroenterology-related issues. Its products are used for those with short bowel syndrome, celiac disease, and other rare diseases. Its Larazotide product is in Phase 3 clinical trial to treat celiac disease at the moment.
On August 16th, 9 Meters announced a collaboration with the European Biomedical Research Institute of Salerno, Italy (EBRIS). This collaboration is for the Phase 2 study of Larazotide to treat multisystem inflammatory syndrome in children caused by COVID-19. EBRIS is planning to start a Phase 2a trial in MIS-C in the fourth quarter of 2021. In the past year and a half, investors have turned their focus heavily on biotech stocks working on treating Covid. As a result, companies like NMTR have increased heavily in popularity.
“Prior work in a patient case study has provided evidence that the cause of MIS-C due to COVID-19 infection involves compromised intestinal permeability, whereby larazotide demonstrated resolution of inflammatory biomarkers and clinical recovery associated with decreased trafficking of SARS-CoV-2 antigens.”Chief Medical Officer of 9 Meters, Patrick H. Griffin, M.D.
Just a few days after the announcement, NMTR stock shot up significantly in volume, indicating high investor attention. Considering this information, will NMTR stock be on your list of penny stocks to watch.
Jaguar Health Inc. (NASDAQ: JAGX)
Jaguar Health Inc. is a biotech company that we have discussed plenty of times over the past few months. This is the result of its constant updates and its twelve-month gain of over 125%. For some added context, Jaguar creates prescription medicines in the United States using natural compounds.
The company’s products are made for people and animals with chronic or debilitating diarrhea. Its subsidiary Napo Pharmaceuticals Inc. also develops and commercializes gastrointestinal pharmaceuticals. With this, it has become a leader in the production of GI-related medicines derived from natural compounds.
On August 13th, the company reported its second-quarter financial results for 2021. In the report, its net and gross sales for its Mytesi product during the quarter and over the past year were at $0.4 million and $4.9 million respectively. Its expenses and net loss rose during this quarter, as well as its research and development costs. This makes sense given the heightened sales of Mytesi, and the funds needed to continue commercializing it.
In other recent news, Jaguar Health’s subsidiary Napo EU S.p.A. signed a license agreement to develop and commercialize Crofelemer and Lechlemer in Europe. Napo will receive $10 million upfront, payable in two installments after the merger of Napo EU and Dragon SPAC S.p.A. The company is eligible to receive additional payments including those related to royalties in the future. This is exciting news and is something that investors should consider if interested in JAGX stock. With all of this in mind, will JAGX be on your penny stocks watchlist?
Are Biotech Penny Stocks Worth Buying Right Now?
When it comes to biotech penny stocks, there are a lot of factors to keep track of. But, in 2021, there is a lot of bullish interest riding on the future of the biotech industry. As a result, many investors continue to search for the best penny stocks to buy. With all of this in mind, are these biotech penny stocks worth adding to your watchlist next month?