Peregrine Shares Soar on Clinical Trial ResultsFriday, September 7, 2012
Peregrine Pharmaceuticals Inc.’s stock shot up today after it released more trial results on its bavituximab cancer drug candidate.
Shares of the Tustin-based drug developer surged 57% in midday trading to a market value of $355 million.
Peregrine said interim data from its second-phase trial of bavituximab in second-line, non-small-cell lung cancer demonstrated a doubling of median overall survival in parts of the trial that contained the drug candidate. The data was revealed during a presentation at the Chicago Multidisciplinary Symposium in Thoracic Oncology.
The company’s shares have been up and down over the past few months, with double-digit rises and falls. Peregrine boosters are hoping that the new trial results will help the company attract a partner and push it into third-stage development. Peregrine officials have been talking with potential partners in recent months.
Some investors have said Peregrine is overvalued and its stock price rise – shares are up 380% for the year after today’s surge – is based on hype and speculation. They note that a previous study for bavituximab failed.