Shares of small-cap cancer company Geron Corporation (NASDAQ:GERN) fell by as much as 13.5% in early morning trading today, following the publication of an article from STAT's Adam Feuerstein that calls Geron's meteoric rise over the past two weeks into question.
As of 11 a.m. EDT, Geron stock is still down by a noteworthy 11.2%.
Thanks to a seemingly positive update on the company's experimental blood cancer drug imetelstat earlier this month, Geron's shares shot up by more than 200% in short order. Feuerstein, however, apparently doesn't share the company's optimism, calling imetelstat's latest clinical checkup "flimsy."
Is this double-digit drop justified? Well, no one will know for sure until Geron releases actual data on imetelstat's ongoing midstage trials for advanced myelofibrosis and myelodyspastic syndromes later this year.
Up until now, the company and development partner Johnson & Johnson have remained tight-lipped in regards to the all-important granular details (the number of complete and partial responses, for example) for both trials. As such, it's unclear whether the bulls or bears have the correct view of imetelstat at this stage of the game.
Geron is giving an investor presentation at the 17th Annual Needham Healthcare Conference in New York at 4 p.m. today. Although it's doubtful the company will release any new information pertaining to imetelstat's progress to date, this rather timely presentation may help to relieve some of the selling pressure later on in the day.