A few biopharma companies made massive runs on Tuesday morning. The health care sector was in trouble over the past year, under fire from congressional hearings and politicians on the campaign trail. But 2017 could be different, with a new administration and new perspective that could lead to more positive trials, U.S. Food and Drug Administration (FDA) approvals and mergers and acquisitions.
The companies 24/7 Wall St. has picked stood out from the rest on Tuesday morning. We have included information about each company, as well as recent trading activity and the consensus price target.
Eyegate Pharmaceuticals Inc. (NASDAQ: EYEG) shares made an incredible gain on Tuesday after the company announced a licensing agreement with Valeant Pharmaceuticals International, Inc. (NYSE: VRX). According to the deal, Eyegate has granted a subsidiary of Valeant exclusive, worldwide commercial and manufacturing rights to the Eyegate II Delivery System and EGP-437 combination product candidate for the treatment of post-operative pain and inflammation in ocular surgery patients.
Under the license agreement, Eyegate received an upfront cash payment and has the potential to receive certain development-based milestone payments, as well as additional milestone payments based on the achievement of certain cumulative and annual sales milestones. Additionally, Eyegate will receive royalties on Valeant’s net sales of the product.
Shares of Eyegate were trading up 64% at $2.69 Tuesday morning, with a consensus analyst price target of $10.00 and a 52-week trading range of $1.11 to $5.10.
Valeant shares were up 1.5% at $16.26. The 52-week trading range is $13.00 to $86.50, and the consensus price target is $22.39.
Cellect Biotechnology Ltd. (NASDAQ: APOP) watched its shares make a handy gain on Tuesday after the firm reported positive results from its clinical trial of ApoGraft in healthy donors. The primary objective was to validate the firm’s propriety method of stem cell selection by going through the process of production and characterization with ApoGraft.
The use of the ApoGraft resulted in a significant increase in the death of mature immune cells, primarily T lymphocytes, without compromising the quantity and quality of stem cells. The process takes only a few hours, as compared to days of complex and expansive lab work with traditional methods; is anticipated to be extremely cost effective in comparison to current approaches; and has the potential to significantly reduce the risk of graft-versus-host disease.
Dr. Yaron Pereg, chief development officer of Cellect, commented:
These results from processing human stem cells for bone marrow transplantation using ApoGraft clearly demonstrated that Cellect’s proprietary platform could improve the outcome of stem cell transplantations in patients suffering from hematological malignancies.
Shares of Cellect were last seen up 18% at $6.90, with a consensus price target of $10.00 and a 52-week range of $2.30 to $8.78.
Trevena Inc. (NASDAQ: TRVN) reported positive results from two late-stage clinical trials that work to treat post-surgical pain. The company intends to submit these results to the FDA for a marketing approval agreement in the fourth quarter. Previously, oliceridine was approved for a breakthrough designation by the agency.
Although the results from the study were positive, it does not appear that investors were entirely happy.
Shares of Trevena were down nearly 33% at $4.78, with a consensus price target of $13.35 and a 52-week range of $3.76 to $9.73.