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: The rally in cancer-focused biopharmaceutical company Peregrine Pharmaceuticals
So what: The immediate news this morning was Peregrine's first-quarter report, which showed a 25% drop in revenue to $4.25 million largely due to lower contract revenue at its subsidiary Avid Bioservices, and a loss $0.07, which was better than the $0.11 loss it had reported in the year-ago quarter. A 13% drop in expenses aided Peregrine in reporting a smaller loss.
The big news remains the positive results of bavituximab in a phase 2b trial released late last week. In combination with docetaxel versus a placebo trial that just used docetaxel by itself, bavituximab demonstrated a doubling in survival rates and was generally well tolerated. Bavituximab is a second-line treatment for stage 3b/4 NSCLC patients that have had at least one chemotherapy regimen.
Now what: Now we wait for additional data. I would really love this to be a positive move toward better care for cancer patients, but smaller biotechnology companies have a very poor track record when it comes to developing cancer treatments on their own. The excitement around the drug is justified, but I'd really like to see those phase 3 results before I get in an uproar.
Craving more input? Start by adding Peregrine Pharmaceuticals to your free and personalized watchlist so you can keep up on the latest news with the company.