Biotech Stocks Have Risk & Proteon Therapeutics Is Showing Exactly Why Traders Need To Be Aware Of That
When it comes to biotech stocks, there are countless unknown factors that could trigger big
What Happened With Proteon Therapeutics?
As with many
On March 28, the nail was put in the coffin when
The results of its Phase 3 clinical trial showed that adverse events with vonapanitase were similar to placebo. They also showed consistency with previous clinical trials. On short, one of the more pivotal Phase Trials came up showing nothing different from placebo and the market reacted.
This Isn’t Anything New For Proteon
Granted, Proteon Therapeutics was already classified as a biotech penny stock, hovering around $3.50. But this latest drop took it well below $1. In fact, March 28 marked the company’s highest trading volume day, ever.
The crazy part is that this scenario isn’t an anomaly for them.
In addition, the company was trading above $11 before falling victim to a similar scenario back in 2016. Its first Phase 3 clinical trial with investigational vonapanitase, PATENCY-1 did not meet its primary endpoint. The stock officially became a “high priced penny stock” following that announcement.
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