Array Biopharma Inc (NASDAQ: ARRY) has had a pretty strong run over the past year. However, more recently, we’ve been seeing declines. In fact, after reaching an all-time high of $18.40 per share on March 7th, the stock has been finding its way downward. While it is in the green this morning, the stock is nearly $0.60 below its all-time high reached just weeks ago. So, is it time to consider buying this stock? Is this dip representing an opportunity, or is it a sign of further declines to come? Today, we’ll talk about:
- What ARRY does;
- the impressive pipeline the company has amassed;
- why the pipeline is exciting investors;
- the risks to consider; and
- what we’ll be watching for ahead.
What Does ARRY Do?
Array Biopharma is a clinical-stage biotechnology company. This means that, while the company doesn’t currently have any approved treatments on the market, they do have a pipeline with treatments that are currently in clinical studies. In particular, ARRY is focused on the oncology space, developing new therapies that are designed to combat cancer. The company has various assets, both wholly owned and in collaboration with other companies, some of which are in late-stage trials and nearing a submission to regulatory authorities for marketing approval.
A Very Impressive Pipeline
As mentioned above, Array Biopharma is a company that dug its roots deep into the cancer indication and has various treatments in the midst of clinical development. All told, ARRY currently has its hands in 15 clinical programs. 13 of these programs are in collaboration with companies like Pierre Fabre, AstraZeneca, Roche, and other big names.
While there are 15 clinical programs in the works at ARRY, there are three treatments in clinical studies that seem to be the core focus within the company’s pipeline. All of these treatments were designed to address aggressive cancers. These treatments are known as Binimetinib, Encorafenib, and Selumetinib. For more details on the company’s pipeline, click here.
Why The Pipeline Is So Impressive
At the end of the day, I’ve done some digging into a massive number of biotechnology companies, clinical-stage biotechnology companies included. With clinical-stage companies, we generally find a company that is working hard to bring a treatment or two to the market, maybe even with multiple indications under each treatment. However, it’s very rare to see 15 clinical programs at once among these companies, as we are seeing with ARRY. This becomes even more impressive when you look at the stages of these clinical programs. In fact, 6 of the 15 are currently in the midst of Phase 3 studies or data review from their Phase 3 studies.
If you’re not well versed in the biotech space, that’s fine. Allow me to explain. In general, when a company like Array Biopharma wants to bring a treatment to the market, the process starts with pre-clinical studies. From there, we go through phases 1, 2, and 3. After Phase 3, if all data proves to be positive, the company generally pushes for FDA approval or approval to commercialize the treatment through another regulatory body. With that said, the pipeline at ARRY shows that the company has various treatments that could potentially get FDA or other regulatory approval within a year! So essentially, revenue from these treatments could be just around the corner.
Consider The Risks
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