Biopharmaceutical Stock Blasts Higher on Alzheimer's Treatment Update

Options traders are rushing to the stock amid annual highs

Deputy Editor
Aug 31, 2021 at 10:51 AM
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The shares of Switzerland-based biopharmaceutical company AC Immune SA (NASDAQ:ACIU) are soaring this morning, up 72.4% to trade at $12.04 at last check. The company announced that Genentech, a unit of its partner, Roche Holding AG, reported that its experimental Alzheimer's disease (AD) therapy met one of two main goals in its Phase 2 study. The tau-targeting monoclonal antibody, Semorinemab, is being developed in collaboration with AC Immune SA. 

Earlier in the session, ACUI touched a new fresh annual high of $12.61, toppling it previous Feb. 18 peak of $12.50, though it appears that level could act as a ceiling. Meanwhile, the $6 level has been a line of consistent support over the past few months, and today's bull gap has the equity blasting past pressure at the 140-day moving average. Year-to-date, the stock is up 136.6%.

Analysts are bullish on ACIU, with all three in coverage carrying a "strong buy" rating. Plus, the 12-month consensus price target of $15.17 is a 33% premium to current levels. 

ACIU's typically quiet options pits are bursting with activity today, with options volume running at 392 times what's typically seen at this point, and pacing for the top percentile of its annual range. More specifically, 3,355 calls and 2,932 puts have crossed the tape. The September 15 call is the most popular, followed by the September 7.50 put, with new positions being opened at both. 

 

 

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