Key collaborations are lifting the stocks from all-time-low territory
A pair of penny stocks are notably higher in early trading: KemPharm Inc (NASDAQ:KMPH) and OpGen Inc (NASDAQ:OPGN). KMPH stock is soaring after a licensing deal with KVK Tech to commercialize its opioid painkiller, Apadaz, and the drug developer will receive up to $3.4 million in pre-launch funds, and could get up to $53 million in milestone payments. OPGN stock, meanwhile, is up on a collaboration with Qiagen to advance rapid diagnostics for antimicrobial resistance.
KemPharm shares are up 10.09% to trade at $2.40, set to close atop their 10-day moving average for the first time since late September. However, the equity still has a ways to go to erase its Oct. 5 bear gap, the result of the company pricing a public stock offering at $3 per share. Since that gap, KMPH touched a record low of $2.00 on Oct. 25, and its 14-day Relative Strength Index (RSI) coming into today was 29 -- in oversold territory.
OpGen stock is up 4.6% at $1.24, but is struggling to take down its own 10-day trendline for the first time since Sept. 26. A discounted stock offering also sent OPGN share reeling earlier this month, though. On Oct. 18, the equity gapped lower after pricing common stock at $1.45 a share. The security yesterday touched an all-time low of $1.18.