A $32 Biotech Became a $90 Biotech Overnight. Is It Too Late to Buy Kodiak?
Kodiak Sciences tripled in a single session after its eye drug cleared a pivotal trial, but a cash-burning biotech with no revenue and a likely share offering complicates any case for chasing the move.
On Sept. 28, 2026, Kodiak Sciences (NASDAQ:KOD) reported that both of its eye drugs met their primary goals in DAYBREAK, a pivotal Phase 3 trial in wet age-related macular degeneration. The stock closed at $89.92, up 177.96% from a prior close of $32.35, after touching a 52-week high of $95.77.
Wet AMD is a disease in which leaky blood vessels under the retina damage central vision, and patients manage it with repeated injections into the eye. Kodiak tested Zenkuda and tabirafusp against Eylea, Regeneron’s (NASDAQ:REGN | REGN Price Prediction) standard injection.
The harder question is what a company with no revenue and a shrinking cash balance does with a market value of about $5.64 billion. Biotechs typically sell stock at moments like this.
With a 52-week low of $10.94, the stock has moved from priced for failure to priced for approval and a working launch, and neither outcome is in hand.
What DAYBREAK Proved and What It Left Open
Zenkuda patients gained 7.2 letters on an eye chart versus 7.6 letters on Eylea, meeting the trial’s non-inferiority threshold.
Full data, FDA acceptance, and approval remain ahead. Kodiak has disclosed no partner or pricing.
Kodiak said 54% of Zenkuda patients needed only one injection every six months. For patients facing repeated eye injections, fewer visits is the product.
The original program halted in 2023 after unexpected cataracts. DAYBREAK showed a 0.5% cataract rate on Zenkuda versus 0.9% on Eylea, with no cases of eye inflammation.
Cash Burn Points Toward a Share Sale
Quarterly net losses ran between $56.7 million and $65.6 million over the last four quarters, per company press releases, while cash fell from $209.9 million at year-end 2025 to $125.9 million by mid-2026. The company set its runway guidance into 2027 at that higher balance.
Last December Kodiak sold stock at $23 a share to raise about $184 million. No offering had been announced as of Sept. 28, but a raise near the high is the obvious move, and it would dilute existing holders.
LifeSci Capital, UBS and H.C. Wainwright raised targets to $145, $120 and $96 after the jump, a delayed signal.
Cheaper Eylea Biosimilars Set the Bar
Eylea HD, Roche’s Vabysmo and lower-cost Eylea biosimilars already sell here. Martin Shkreli, who holds a short position, asked on X: “How do you know you can’t get the same out of Eylea? presumably vastly cheaper”
It is a fair question. Zenkuda wins only if fewer injections cut total cost of care, since each visit adds clinic and procedure costs, and Kodiak still needs a salesforce and payer coverage it lacks.
Should You Buy or Sell KOD Stock
KOD looks priced for perfection at $89.92. The data earned a higher price, but the stock now prices in approval and a launch that a cash-burning company cannot fund without raising money.
A likely offering would reset the entry price and change the share count.
Two dated events settle it: the multi-indication FDA application planned for Q4 2026 and PEAK results for KSI-101 in December 2026. An offering priced well below $89.92 or a delayed filing would reinforce the bearish read, while an on-time filing and a clean December readout would argue against it. I’d take profits if you bought below $40.
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Omor Ibne Ehsan is a writer at 24/7 Wall St. He is a self-taught investor with a focus on growth, cyclical, and dividend equities that have strong fundamentals, value, and long-term potential. He also has an interest in high-risk, high-reward investments such as penny stocks.
