What: Shares of Neurocrine Biosciences (NASDAQ:NBIX), a biopharmaceutical company focused on treatments for neurological and endocrine-related diseases, more than doubled in value during 2015, according to data from S&P Capital IQ.
So what: The year was filled with positive developments that gave investors reason to cheer, including:
- In February, Neurocrine Biosciences raised $250 million through a common stock offering, selling nearly 7 million shares for $36 each.
- In September, Neurocrine Biosciences and partner AbbVie (NYSE:ABBV) reported results from a phase 2b study testing the safety of elagolix in patients with heavy menstrual bleeding associated with uterine fibroids. The trial showed that elagolix met the study's primary endpoints, giving AbbVie enough confidence in the drug to initiate a phase 3 trial.
- In October, it released positive results from its phase 3 study of NBI-98854 ability to treat tardive dyskinesia, a condition that causes involuntary movements of various extremities. It announced plans to file a New Drug Application with the FDA in 2016.
- Also in October, Neurocrine Biosciences initiated a phase 2 study of NBI-98854 as a potential treatment for Tourette's syndrome.
- In November, it added a new molecule to its pipeline, NBI-640756. The drug is being studied in patients with essential tremors, and the company has initiated a phase I safety and pharmacokinetics trial.
Now what: Given the stream of good news, it's easy to see why the market was bidding up shares of Neurocrine Biosciences all year. Neurocrine Biosciences also appears to be on sound financial footing and has previously estimated that it would end 2015 with more than $450 million in cash in its bank account. Even with an expected uptick in spending as it advances its pipeline, the company should have plenty of capital to keep things running for at least several years.
With a huge cash hoard, two different compounds in late-stage clinical trials, and a strong partnership in place with pharma giant AbbVie, I see plenty of reasons to remain bullish on Neurocrine Biosciences' stock.
Brian Feroldi has no position in any stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.