Epilepsy Drug Data Sends CBD Specialist to Record Highs

Plus, GW Pharmaceuticals reported a slimmer-than-expected loss

Managing Editor
May 7, 2019 at 9:56 AM
facebook twitter linkedin

The shares of GW Pharmaceuticals PLC (NASDAQ:GWPH) are in focus today, after a double-dose of good news last night. First, the drugmaker's first-quarter loss was slimmer than expected. But more importantly, its epilepsy drug Epidiolex met the main goals in a late-stage study, while first-quarter sales for the drug were higher than expected. 

In response, GWPH is up 8.1% to trade at $194.75, and earlier nabbed a fresh record high of $196. Since a late-February earnings-induced bull gap, the shares had consolidated below the $180 level. Not only is this former resistance toppled today, but the security is on track for its fourth straight win, and has extended its year-to-date lead to 92%. 

The news has been met with no fewer than six price-target hikes too, the highest being to $234 from $227 at Morgan Stanley. The stock is no stranger to bull notes though, with 10 of 11 brokerages in coverage rating it a "buy" or better, and the average 12-month price target sits all the way up at $218.42. 

Short sellers may be ready to hit the exits. Short interest increased by 7.5% in the most recent reporting period to 3.10 million shares. This represents 12.2% of the stock's total available float, and 8.2 days' worth of pent-up buying power, at its average pace of trading.




These investors are using the market's volatility to their advantage and scoring triple-digit gains on many of their trades.

Even in today's sideways bear market, this trading strategy has continued to provide consistency and profitability to a small group of investors. By using this approach, these traders are removing directional risk and still hitting triple-digit returns. If you want access to this strategy, and lower risk with higher returns sounds good to you, then don't wait another minute.

Join us now to receive our next trades the moment they come out!


Common mistakes options traders make


Special Offers from Schaeffer's Trading Partners