2 Biotech Stocks Starting the Week Off Strong

The FDA fast-tracked Prevail's Parkinson's disease treatment

Managing Editor
Jul 8, 2019 at 9:53 AM
facebook twitter linkedin


Two biotech names are making a run up the Nasdaq charts this morning. First there's Sangamo Therapeutics Inc (NASDAQ:SGMO), up 10% to trade at $12.53, after the gene therapy specialist reported positive early-stage results for its hemophilia treatment developed with Pfizer (PFE). An analyst at Cowen and Company said that while the data is encouraging, more follow-ups are needed to fully gauge the drug's long-term impact.

Sangamo Therapeutics stock has used this news to climb just south of $13, an area that contained an early-April bull gap. Prior to today, SGMO was trading just below its year-to-date breakeven point. And barring a dramatic pivot the next four days, the drug stock is staring at its fourth-straight weekly win.

A short squeeze could power more gains. Short interest is at its highest point since mid February, and accounts for 18.8% of SGMO's total available float, and more than eight days' worth of pent-up buying power, at the stock's average pace of trading.  

Then there's Prevail Therapeutics Inc (NASDAQ:PRVL), up 8% to trade at $11.35, after the Food and Drug Administration (FDA) granted 'fast-track' designation for the company's Parkinson's disease treatment. Dosing will begin in the second half of 2019. Prevail Therapeutics stock had its initial public offering (IPO) on June 10, pricing at $17 per share. PRVL raced as high as $16.90 on June 24, but prior to today, had turned in only one positive session since, and has yet to reach $17.

 

Stop leaving money on the table with the same old broken options trading approach...

There is no options strategy that more perfectly capitalizes during earnings season better than this simple call and put buying strategy. Perfect for aggressive traders looking to recover their suffering portfolios so far in 2022. With the simplest possible options strategy, Schaeffer's team with 100+ years of options trading excellence, target 200% gains on every single trade. So many trades are being beaten down by the market, but don't be one of them! Don't waste another second... join us right now before the next trade is released! 

 
Schaeffer's Daily Bulletin Offer
 


 


 
Special Offers from Schaeffer's Trading Partners