2011 Review: Cell Therapeutics (CTIC)

2011 Review: Cell Therapeutics

Now that the sun has set on 2011, it is an excellent time to go back and review how the past 12 months treated some of the most popular stocks. Let's take a closer look at the year that was for popular biotech Cell Therapeutics (Nasdaq: CTIC ) .

Cell Therapeutics Stock Chart by YCharts

After starting the year at a split-adjusted $2.22 a share, Cell Therapeutics stock lost almost 50% of its value by the end of December, closing at $1.16. How did we get here?

It all starts in 2010, when the FDA rejected Cell Therapeutics' non-Hodgkin's lymphoma treatment and lead drug candidate pixantrone. Therefore, 2011 found Cell Therapeutics hanging on and fighting to get an approval. The company appealed the complete response letter, which didn't get the decision reversed but did get it another crack at the review process, with the FDA accepting its marketing application in early December. To keep the lights on, the company has had 2 dilutive offers this year raising $50 million, the second coming right after the stock popped 24% on the most recent FDA announcement.

If the company were confident in approval, it would have more sense to wait until a final decision was made to raise additional capital. This should give investors pause. However, we will find out early in 2012 whether Cell Therapeutics' Hail Mary results in a game-changing touchdown. Europe's version of the FDA, the CHMP, will decide on pixantrone in January, and the FDA decision should come in April.

In the meantime, add Cell Therapeutics to your watchlist and don't miss any of our ongoing coverage.

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The Steve Jobs Betrayal
You may already know that in the final year of his life, Jobs revealed a stunning betrayal — and told his biographer, "I will spend my last dying breath... and every penny of Apple's $40 billion in the bank to right this wrong." What was it that made Jobs so irate — and why could it make a few in-the-know investors some major profits over the coming months and years?

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Comments from our Foolish Readers

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Report this Comment On January 02, 2012, at 7:27 AM, joanesnj wrote:

After Bashing the Company daily for the last 6 months you bloat how the price has dropped?
After your buddy Dr Pazdur (ODAC) Decides to Stick with a call Calling an "ovary a tumor" on the scans and the drug gets rejected it all stinks of the "good ole boys" network of thieves that you seem to be part of!
There were 100 million short shares at the time when Dr Death, I'll call him had the drug rejected!
Its Amazing that any one would take a basher rag serious like you!
How Short are your buddies to constantly bash this company for the last 6 months?