Four Biotech Stocks To Consider As The Sector Breaks Out

NEW YORK, NY / ACCESSWIRE / April 7, 2016 / Has biotech finally bottomed? After an 8-month long bear market with biotech stocks losing over 40%, signs of a breakout are now becoming more and more obvious. All eyes are on the iShares NASDAQ Biotechnology Index ETF (NASDAQ:IBB) as the 50 day moving average has been overtaken since the beginning of the month.

The big move in the sector is taking some small cap players along with it. It is a familiar pattern that when bullish attention begins to focus on biotech as a whole, investors tend to rediscover those smaller companies with promising pipelines. Here are four stocks that have made big moves as the sector has made a recovery.

Corbus

Corbus Pharmaceuticals Holdings Inc. (NASDAQ: CRBP) is in the thick of three separate phase 2 trials for its flagship candidate Resunab. Shares have been on a 90% tear since biotech bottomed in February as investors have suddenly remembered that all three trials are scheduled to report results this year. Resunab is a powerful anti-inflammatory that is a synthetic analog of naturally occurring plant-based anti-inflammatories, but shown to be up to 100x stronger. The lead indication for Resunab is cystic fibrosis, currently the most lucrative area of biotech in terms of drug prices. Positive data on any of Resunab’s phase 2 trials this year could easily propel shares to their highs of $4.31. The stock is now trading at $1.95 a share.

DelMar

Delmar Pharmaceuticals Inc. (OTCQX: DMPI) is an Orphan-focused development stage biotech whose main candidate VAL-083 is a chemotherapeutic aimed at one of the deadliest of all cancers, glioblastoma multiforme. The stock is up 53% from its most recent bottom in February, and 165% up from its 52 week lows. VAL-083 is believed to attack brain tumors through a different mechanism than current standard of care temozolomide. The chemotherapy has been around since the 1980’s but was never developed, and it is already approved in China. Phase 1 trials have already demonstrated clinical benefit, and a registrational trial is planned for this year.

Spectrum

On March 15, Spectrum Pharmaceuticals, Inc. (NASDAQ: SPPI) received FDA approval for EVOMELA, a treatment for multiple myeloma. The stock had already bottomed a month before along with the rest of the biotech complex, and shares are now 66% higher since February. EVOMELA is an injectable form of the popular chemotherapy Melphalan. The company currently has 6 drugs on the market and is pursuing two additional potential blockbusters. Another FDA decision is expected on an additional candidate by the second half of the year, meaning the catalysts are not over for this company, which looks like it will continue feeding off of broader biotech momentum.

Valeant

Though not a development stage company by any means, Valeant Pharmaceuticals International Inc. (NASDAQ: VRX) has jumped 45% in three days off of news that it will finally file its long awaited and delayed annual report after no further accounting issues have been discovered. With the good news coming on the back of a sector-wide rally, Valeant picked a good time to allay fears of bankruptcy due to regulatory concerns and ride the momentum. Look for Valeant to continue its move higher after it files its belated annual report later this month. The stock has been pummeled severely since it topped along with the rest of the sector in mid-2015, and there looks to be much more upside to go if Valeant can avoid any more accounting faux pas.

About Biotech Stocks (www.BiotechStocks.com)

Biotech Stocks (www.biotechstocks.com) is your best resource for today’s emerging biotech industry. Whether you’re looking for the best biotech stocks to buy, biotech news, trends in biotech, articles within the biotech industry and so much more, BiotechStocks.com is your destination for it all. Our goal is to become the central hub for all who are seeking current Biotech Stock News as well as biotech industry, political and social news, articles, trends & overall insight, delivered in a way that we all can relate to.

Legal Disclaimer

Except for the historical information presented herein, matters discussed in this article contain forward-looking statements that are subject to certain risks and uncertainties that could cause actual results to differ materially from any future results, performance or achievements expressed or implied by such statements. BiotechStocks.com, is not registered with any financial or securities regulatory authority, and does not provide nor claims to provide investment advice or recommendations to readers of this release. BiotechStocks.com, may from time to time have a position in the securities mentioned herein and may increase or decrease such positions without notice. For making specific investment decisions, readers should seek their own advice. BiotechStocks.com, may be compensated for its services in the form of cash-based compensation or equity securities in the companies it writes about, or a combination of the two.

Contact Info:

Email:info@biotechstocks.com
URL: www.BiotechStocks.com

SOURCE: BioTechStocks.com

ReleaseID: 438571