Please ensure Javascript is enabled for purposes of website accessibility

Why Karyopharm Therapeutics Inc. Shares Are Soaring 15% Today

By Todd Campbell - May 1, 2018 at 11:52AM

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

This clinical-stage company reported significant news yesterday.

What happened

After the company reported positive data for its lead drug in a key multiple myeloma study, shares of Karyopharm Therapeutics Inc. (KPTI 9.07%) are surging 15% higher at 12:15 p.m. EDT today.

So what

Karyopharm Therapeutics is developing selinexor for the treatment of hematological cancers, including multiple myeloma and diffuse large B-cell lymphoma (DLBCL).

An ascending bar chart overlaid on top of a computer monitor showing stock prices.

IMAGE SOURCE: GETTY IMAGES.

After the market's closing bell yesterday, the company reported an overall response rate of 25.4% in multiple myeloma patients who have seen their disease return following five prior therapies, including the billion-dollar blockbusters Revlimid, Velcade, and Darzalex.

The response rate in this heavily treated patient population is good enough for management to say it'll seek accelerated review based on this phase 2b data, with a filing for Food and Drug Administration approval anticipated by the end of 2018. 

Now what

Since most multiple myeloma patients see their disease return following treatment, there's an important need for new options for late-stage patients, but that may not be the only opportunity for selinexor's use.

A trial is also evaluating its use alongside Velcade in patients who've had one to three prior treatments. Data from that trial is anticipated in 2019, and if it pans out well, then selinexor's addressable market would expand significantly.

Also, Karyopharm Therapeutics previously reported solid phase 2b study results for selinexor in DLBCL. A phase 3 trial of it in that indication should have data available later this year. If selinexor is a success in DLBCL as well, then it has a good shot at racking up significant sales someday.

Given selinexor's potential to win approval in the U.S. next year and the need for new therapies, the company's latest data makes Karyopharm Therapeutics an intriguing stock to add to aggressive portfolios.

 

Todd Campbell has no position in any of the stocks mentioned. His clients may have positions in the companies mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.

Invest Smarter with The Motley Fool

Join Over 1 Million Premium Members Receiving…

  • New Stock Picks Each Month
  • Detailed Analysis of Companies
  • Model Portfolios
  • Live Streaming During Market Hours
  • And Much More
Get Started Now

Stocks Mentioned

Karyopharm Therapeutics Inc. Stock Quote
Karyopharm Therapeutics Inc.
KPTI
$5.41 (9.07%) $0.45

*Average returns of all recommendations since inception. Cost basis and return based on previous market day close.

Related Articles

Motley Fool Returns

Motley Fool Stock Advisor

Market-beating stocks from our award-winning analyst team.

Stock Advisor Returns
400%
 
S&P 500 Returns
128%

Calculated by average return of all stock recommendations since inception of the Stock Advisor service in February of 2002. Returns as of 08/14/2022.

Discounted offers are only available to new members. Stock Advisor list price is $199 per year.

Premium Investing Services

Invest better with The Motley Fool. Get stock recommendations, portfolio guidance, and more from The Motley Fool's premium services.