The biggest winner on the market Friday was Endocyte (NASDAQ:ECYT)by a long shot, as shares absolutely exploded, closing upwards of 90% for the day. The market was celebrating a successful phase 2 clinical trial of the company's drug vintafolide in its lung cancer indication. When combined with chemotherapy, the drug gave patients a 25% benefit both in progression-free survival rates and overall survival rates. In addition, the company received EU approval for vintafolide in the treatment of ovarian cancer.
These two catalysts have caused analyst price targets to jump, with Piper Jaffray coming out and raising its target on the stock to $36; shares currently sit at $28. In this segment from Friday's Market Checkup, Motley Fool health-care analysts David Williamson and Michael Douglass discuss Endocyte's partnership with Merck (NYSE:MRK) on the drug, as well as just how much blockbuster potential the drug could have, and why even after a near double the stock is filled with upside.