Biotech penny stocks have evolved since 2020 began. What has mainly driven these stocks is the coronavirus pandemic. The COVID-19 outbreak has caused many hurdles that people did not expect this year. This has caused biotech companies to scramble in search of a vaccine that will work. The goal is to end the pandemic and go back to our everyday lives.
We are actively living in a world where COVID-19 is still spreading. The search for a feasible vaccine or treatment is on but is still yet to have a widespread solution. This virus has caused many biotech companies who were otherwise unknown to show up in the news. There is still a lot of uncertainty about this virus, which is why more than 200 companies are attempting developments.
- Defining The Next Generation Of Coronavirus Stocks: This Company Comes into Focus
- Are These Beaten Down Penny Stocks A Buy Right Now? 4 To Watch
The market for biotech stocks is always changing, though. If one company makes more advances for the same type of treatment, it could rise while the other declines. When biotech companies receive government approval or launch widespread trials, it can cause their stock price to move as well. It’s common in this sector, especially with COVID-19 related companies. Now, let’s look at 5 biotech penny stocks that are trending in the market.Biotech Penny Stocks To Watch: Revive Therapeutics
Revive Therapeutics (RVVTF Stock Report) is a biotech company that creates therapeutics for medical needs and rare disorders. Currently, Revive has been working on a potential COVID-19 treatment called Bucillamine. On August 5th, the company gave an update on its previously announced FDA approval to proceed with its Phase 3 in July.
The CEO of Revive, Michael Frank, said, “With the FDA approval of the Phase 3 clinical study to evaluate Bucillamine in the treatment of patients with mild-moderate COVID-19, our team and partners are working diligently to align our resources and expertise that will fast-track the Phase 3 study.” On August 31st, Revive announced that it won Institutional Review Board approval for its Phase 3 trial to evaluate Bucillamine in patients with the virus.
Mr. Frank additionally said, “With the IRB approval of the Phase 3 study protocol for COVID-19, we can recruit U.S. clinical sites efficiently, allowing us to move forward with providing Bucillamine to patients under our Investigational New Drug (IND) application that was approved by the FDA last month.”
Phase 3 will track 1000 patients that will be randomized to receive 100mg of Bucillamine three times a day for 14 days. As far as timing is concerned, this month could be an important one for Revive. The company said in its August 26th PR that it expects to have patients enrolled in September 2020. An interim analysis will be performed by an Independent Data and Safety Monitoring Board after 210 patients have been treated and followed up for 28 days after randomization.Biotech Penny Stocks To Watch: InspireMD Inc.
Why did InspireMD Inc. (NSPR Stock Report) just see an uptick? Let’s first talk about who InspireMD is. This company focuses on creating medical devices, developing, and commercializing different technologies. These developments treat things like coronary and vascular diseases. InspireMD just announced that its study of CGuard Carotid Stent System, CARENET-III, was approved to proceed by the US FDA. This goal is to help prevent people from getting strokes.
The CEO of InspireMD, Marvin Slosman, said, “This is a key milestone in the history of our company as it helps pave the way for us to initiate a clinical trial of CGuard EPS for addressing Carotid Artery Disease and preventing stroke in the United States market. This will be the first U.S.-based study of CGuard which is a cornerstone of our global expansion plans. A pivotal trial of this kind requires significant preparation and allocation of resources, and we have already begun to move pieces into place in order to plan the initiation of our CARENET-III study. The FDA approval of the IDE represents an important step in enabling us to conduct a pivotal clinical trial to demonstrate the potential for CGuard EPS against carotid artery disease.”
Time will tell how these advancements help NSPR stock price. On September 8th, NSPR stock reached an intra-day high of $0.495. However, considering the aggressive pullback from those highs, will this penny stock remain a focus for traders in September?Biotech Penny Stocks To Watch: Evofem Biosciences Inc.
Another one of the biotech penny stocks to watch is Evofem Biosciences Inc. (EVFM Stock Report). Evofem is a biotech company that develops and commercializes products targeted at women’s sexual and reproductive help. The company reported its second-quarter financial results for 2020 on August 4th. Operating expenses were $22.4 million compared to $11.9 million, year over year. Its research and development costs were $2.6 million compared to $5.2 million, year over year.
The CEO of Evofem, Saundra Pelletier, said, “The second quarter of 2020 was marked by success across all areas of our business. With the FDA approval of Phexxi in hand, more than $130 million in gross proceeds from our two financing transactions on the books, and clear guidance from the FDA regarding the clinical path forward for EVO100, we are operating from a position of strength with a clear vision for the future.”
Furthermore, on September 8th, Evofem announced the official U.S. commercial launch of its contraceptive, Phexxi. The biopharmaceutical firm also said that it is launching the Phexxi Concierge Experience, a comprehensive woman-centric telemedicine support system, to help ensure accessibility to the contraceptive product. Considering that this event has long been expected, it will be interesting to see what comes next for EVFM this year.Biotech Penny Stocks To Watch: Check-Cap Ltd.
The final biotech penny stock to watch is Check-Cap Ltd. (CHEK Stock Report). Check-Cap is a medical diagnostics company that develops a capsule-based system for x-rays. The company also introduced its C-Scan product for identifying certain GI cancers. On August 5th, Check-Cap reported its second-quarter financial results for 2020.
The CEO of Check-Cap, Alex Ovadia, had this to say, “I am happy with the progress we made during the first six months of 2020 and delighted to observe our team’s commitment despite the ongoing global COVID-19 crisis.”
While the company’s progress was slowed early on things have resumed near normal operations. The company expressed that this included its ongoing collection of clinical data in Israel.
In particular, that collection has been going on during the third quarter. Could this be something to note heading into the end of September for CHEK stock?The company was able to narrow its net loss from $3.4 million in Q2 2019 to $2.9 million this year. Furthermore, management revealed that it plans to submit an Investigational Device Exemption to the FDA for C-Scan by the end of this year.
Subsequently, it aims to begin a U.S. pivotal study of the device in 2021. While August wasn’t a stellar month for CHEK, this month has seen a bit more excitement. From September 4th to the 8th, CHEK stock is up 22% with volume trending well-above average. Can this trend continue through the rest of the third quarter?Biotech Penny Stocks To Watch: HTG Molecular Diagnostics, Inc.
HTG Molecular Diagnostics, Inc. (HTGM Stock Report) has been one of the penny stocks to watch since late-March. At the time, HTG investigated the host immune response to SARS-CoV-2 and found it could facilitate the treatment of COVID-19. Its proprietary HTG EdgeSeq technology automates complex, highly multiplexed molecular profiling from solid and liquid samples. Essentially, it helps to identify biomarkers important for precision medicine.
While the first few quarters were strong, HTGM stock has slid during the back half of Q3. After hitting a high of $0.80 in late July, shares have dipped back to the $0.30 level. It has basically given back everything it gained over the last few months. This week, however, HTGM stock has shown some signs of life. The penny stock bounced from that $0.30 area to highs of $0.37.
What appears to have begun circulating this week is a recent government contract*. It was actually posted late last week and appears to be for a sum of $158,100. Whether or not that is the root catalyst behind the recent move is yet to be seen. However, it is a more recent development to consider as HTGM stock saw its heaviest volume day since July, on September 8th.