Although we don't believe in timing the market or panicking over market movements, we do like to keep an eye on big changes -- just in case they're material to our investing thesis.
What: Shares of biotechnology company Inovio Pharmaceuticals (NYSEMKT: INO ) jumped 10% today after the company announced that its investigational hTERT DNA cancer vaccine showed potential to reduce tumors and prevent tumor recurrence.
So what: In a preclinical study with two animal models, hTERT broke the immune system's tolerance to its self-antigens, induced T-cells with a tumor-killing function, and increased the rate of survival, reinforcing optimism over the drug's potential to be a "universal" cancer therapeutic. Management also said that vaccination elicited multiple epitopes in both mice and monkeys, suggesting that the immune response is a broad one.
Now what: Following the strong data, management said that it intends to move hTERT into clinical trials in 2014.
"We plan to develop INO-1400 to treat breast and lung cancers and then expand to other cancer types," said CEO Dr. J. Joseph Kim in a statement. "This hTERT therapy adds to a growing Inovio oncology franchise."
So while the stock is just too hot and speculative for average investors, biotech experts might want to follow Inovio more closely.
It's no secret that biotech stocks like Inovio have been soaring recently, but the best investment strategy is to pick great companies and stick with them for the long term. The Motley Fool's free report "3 Stocks That Will Help You Retire Rich" not only shares stocks that could help you build long-term wealth, but also winning strategies that every investor should know. Click here to grab your free copy today.