Please ensure Javascript is enabled for purposes of website accessibility

Why Veru Stock Is Skyrocketing Today

By Keith Speights - Updated Feb 8, 2021 at 11:54AM

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

The company reported great results from a phase 2 study in treating hospitalized COVID-19 patients.

What happened

Shares of Veru (VERU -4.80%) had skyrocketed 29.5% higher at 11:38 a.m. EST on Monday. The big jump came after the company announced promising results from a phase 2 study evaluating experimental drug VERU-111 in treating patients with COVID-19 who are at high risk for acute respiratory distress syndrome (ARDS).

So what

It's not unusual at all for biotech stocks to soar after reporting great clinical results. And Veru's results were pretty great.

Gloved hand stopping wood blocks spelling COVID-19 from knocking over other wood blocks.

Image source: Getty Images.

The company said that hospitalized patients receiving VERU-111 experienced an 81% reduction in death or respiratory failure 29 days after treatment compared to patients receiving a placebo. In addition, VERU-111 appeared to achieve a statistically significant reduction in days in the intensive care unit and a reduction in the number of days patients were on mechanical ventilation.

Veru stated that VERU-111, an oral medication given daily, was well tolerated overall. The biotech said that there were no treatment-related adverse events. 

Now what

The next big step for Veru is to advance VERU-111 into late-stage testing. The company expects to kick off its phase 3 study in April and complete the study by the end of this year. Veru said that it plans to try to get funding from the Biomedical Advanced Research and Development Authority (BARDA) for the late-stage study.

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

The Female Health Company Stock Quote
The Female Health Company
$14.29 (-4.80%) $0.72

*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 service.

Stock Advisor Returns
S&P 500 Returns

Calculated by average return of all stock recommendations since inception of the Stock Advisor service in February of 2002. Returns as of 05/19/2022.

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.