Why Spectrum Pharmaceuticals Is Climbing

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Shares of Spectrum Pharmaceuticals Inc. (NASDAQ: SPPI) saw a handy gain early on Tuesday after the firm provided an update on its midstage non-small cell lung cancer (NSCLC) study. Specifically, the firm updated its poziotinib Phase 2 data in MD Anderson’s EGFR Exon 20 Mutant NSCLC.

Overall, these early data from MD Anderson suggest poziotinib may have a meaningful impact on outcomes for patients who have limited treatment options. The response for patients enrolling in the study has been strong, according to management.

The preliminary confirmed objective response rate and potential progression-free survival benefit in EGFR Exon 20 Mutant Non-Small Cell Lung Cancer patients have been significant. In the first 11 patients, the confirmed objective response rate was 64%.

In the study, Spectrum was initially hoping to get response rates between 20% and 30%.

Additionally, the two most common adverse events observed in the study to date are skin rash and diarrhea, which are known EGFR inhibitor-related toxicities. The firm is looking forward to presenting comprehensive data from this study at a major medical meeting later this year.

Xiuning Le, M.D., Assistant Professor, Department of Thoracic/Head and Neck Medical Oncology, University of Texas MD Anderson Cancer Center, commented:

Our study at MD Anderson has far exceeded our enrollment expectations. At this point, the original cohort of 30 EGFR patients is fully enrolled and the expanded cohort of 20 patients is nearing the completion of enrollment. As enrollment in our study nears completion, we will soon begin enrolling patients in Spectrum’s ongoing multicenter Phase 2 study.

Shares of Spectrum Pharma traded up 20.8% early Tuesday at $17.67, with a consensus analyst price target of $29.25 and a 52-week range of $5.47 to $23.50.