Penny stocks are well known for their volatility swings. Whether we’re talking about stocks with insider trading, meme stocks, or penny stocks with high analyst ratings, there are myriad catalysts to seek out. However, specific industries lend themselves to other potential sparks to light or extinguish the fire in the stock market. One of these industries is biotech. It’s one of the few places you can know something before it happens, and I’ll explain.
Since there are numerous stages to drug and medical device approvals, there are just as many potential updates made. With each trial or study, companies need to present their plan to bodies like the FDA to get approval to move forward with a study. That usually entails a thorough and detailed overview of steps to take and timing.
In line with this, you’ll frequently see biotech companies announce future dates of when they propose to release important information. Things covered may be trial details, study updates, industry conferences, investor days, and other types of events. In this article, we’ll go over some companies that have already announced that this week could be an important one.Penny Stocks To Watch This Week
- Spectrum Pharmaceuticals (NASDAQ:SPPI)
- Verastem Oncology (NASDAQ:VSTM)
- Aprea Therapeutics (NASDAQ:APRE)
- Capricor Therapeutics (NASDAQ:CAPR)
- Conformis Inc. (NASDAQ:CFMS)
Spectrum specializes in targeted oncology treatments and, specifically, the development of its poziotinib platform. This is the company’s investigational drug candidate for treating non-small cell lung cancer. Other therapies in its pipeline include ROLONTIS, the source of some bearishness in the stock earlier this quarter.
The FDA sent a complete response letter to the company after Spectrum submitted a Biologics License Application for the investigational treatment. The FDA cited deficiencies related to how ROLONTIS was manufactured and explained that a reinspection would be necessary. This is where you saw the mass sell-off in SPPI stock last month.What To Watch WIth SPPI Stock This Week
This week Spectrum will be in the spotlight of the biotech community once again. However, this time, it won’t be related to an FDA event. Instead, the company presents data on its poziotinib early efficacy and safety data in first-line patients with non-small cell lunch cancer with HER2 exon 20 mutations from its 4th cohort of the current ZENITH20 trial.
The date to write down is September 18th (yesterday). Starting at 2:20 PM CEST, poziotinib data will be presented at the European Society for Medical Oncology Congress (ESMO). Considering that information may cycle over the weekend, it will be interesting to see if or how the market responds when things reopen Monday morning.2. Verastem Oncology (NASDAQ:VSTM)
Verastem is another cancer treatment company. Its focus is on multiple indications, including ovarian and non-small cell lung cancer. VS-6766 RAF/MEK inhibitor and defactinib, a focal adhesion kinase inhibitor, are part of its robust pipeline. Current studies are investigating treatments or outcomes that haven’t received approval from a Health Authority. However, there are currently seven studies* recruiting and/or active in their roster.What To Watch With VSTM Stock This Week
This will likely be another company we discuss in the future as there are other planned presentations to come later this quarter. However, heading into this week, VSTM stock will likely focus on those looking for results from the event I mentioned above. Verastem presents data atESMO this week.
In particular, the company was selected for a mini oral presentation to discuss updated results from its Phase 1/2 FRAME study in VS-6766 for low-grade serous ovarian cancer. So if VSTM stock is on your watch list, make sure to record September 19th (today) as a date to remember. The company presents 5:50 PM CEST.3. Aprea Therapeutics (NASDAQ:APRE)
Sticking with the current trend, Aprea is yet another cancer stock that could be in focus this week. The company’s lead treatment, eprenetapopt (APR-246), is in development for hematologic malignancies and solid tumors. It has received Orphan Drug and Fast Track designations from the FDA for myelodysplastic syndromes (MDS). In addition, eprenetapopt holds Orphan Drug and Fast Track designations from the FDA for acute myeloid leukemia (AML), and Orphan Drug designation from the European Commission for MDS and AML.What To Watch With APRE Stock This Week
Once again, ESMO will be the focus for Aprea this week. The company presents data for eprenetapopt in combination with pembrolizumab (KEYTRUDA®) to treat advanced solid tumors. In particular, Washington University in St. Louis’ Haeseong Park offers details of the current Phase 1/2 study of APR-246 combined with pembrolizumab. If APRE stock is on your list this week, make sure to have September 20th (Monday) jotted down. The company starts presenting at 11:35 AM EDT.4. Capricor Therapeutics (NASDAQ:CAPR)
Shares of Capricor have experienced a bout of volatility over the last few months. The penny stock has flip-flopped between lows of $3.79 and highs of over $6 from June to September. Attention has been chiefly on Capricor’s cell therapeutics platform.
In particular, the company’s lead candidate, CAP-1002, is an allogeneic cardiac-derived cell therapy. It’s currently in clinical development for treating Duchenne muscular dystrophy and the cytokine storm associated with COVID-19. The company is also developing mRNA treatments for disease prevention for a variety of indications.What To Watch With CAPR Stock This Week
There’s no ESMO presentation for Capricor. However, the company will give details on its CAP-1002 treatment in the current HOPE-2 Phase 2 clinical trial in 20 late-stage Duchenne muscular dystrophy patients. Specifically, late-breaking results get discussed in an oral session on September 24th starting at 11:15 AM EST.5. Conformis Inc. (NASDAQ:CFMS)
Conformis is on the medical device side of the biotech arena. In particular, the company develops personalized knee and hip replacement products. Its iFit Image-to-Implant technology allows the company to individually size and shape its customized replacement implants for all types of patients.
It also recently conducted the first “Identity Imprint” procedure. This is the company’s knee replacement system. “Identity Imprint integrates elements of personalized design with the convenience and flexibility of an off-the-shelf system, which is advantageous for surgeons and patients alike,” said Mark Augusti, President and CEO of Conformis.What To Watch With CFMS Stock This Week
Conformis is in the middle of a circuit of investor presentations this month. Earlier in the month, the company presented at HC Wainwright’s Global Investment Conference. This week, Conformis will be at Oppenheimer’s Healthcare Life Sciences & MedTech Summit. CEO Mark Augusti and CFO Bob Howe present on the 21st starting at 1:15 PM ET. Management will also make themselves available for one-on-one meetings during the conference.Are Biotech Penny Stocks On Your Watch List This Week?
There are plenty of events coming up both this week and later on this year for countless biotech companies. In some cases, it’s a matter of “buy the rumor, sell the news,” other cases involve information becoming a bullish or bearish catalyst after the fact. Then there’s everything in between or, maybe nothing comes from the “event.” All the same, however, it’s not a bad idea to keep upcoming events in mind. At the very least, it will help better understand what to look out for well in advance of any potential catalyst. Will any of these biotech penny stocks make your top 10 list this week?