Why Inovio Shares Popped

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 (NASDAQ: 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.

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Comments from our Foolish Readers

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  • Report this Comment On July 24, 2013, at 4:03 PM, Skiidog wrote:

    It is time for the Motley Fool to really look into Inovio. Their pipeline is very impressive and their results are coming in better than expected. This stock will be a 10 bagger in 2-5 years. I think sooner.

  • Report this Comment On July 26, 2013, at 9:37 AM, FutureInsightInc wrote:

    I agree hold-heartedly....most under-rated stock in the biotech category. Investors forget this was at one time a 50$ stock...time for HISTORY TO REPEAT ITSELF!!...

  • Report this Comment On July 30, 2013, at 11:24 PM, JAVKO wrote:

    Look at the history of promises by this Co and failures.

    Still at pre-clinical studies with animals!

    How long have they been in business?

    Have they ever gone beyond the two animals?

    Do your DD thorougly

  • Report this Comment On August 05, 2013, at 5:14 PM, Paulson545 wrote:

    Legendary billionaire investor Dr Frost bought over 6 million shares of SafeStitch Medical and Dr Hsiao bought over 8 million shares earlier this year. Today SFES nearly doubled. On May 2nd Seeking Alpha wrote an article predicting Opko Health opk might make a stock offer for SafeStitch Medica....imo

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