AVEO Pharmaceuticals, Inc. (NASDAQ: AVEO)
AVEO Pharmaceuticals ended yesterday’s trading session strong following the release of positive news with regard to tivozanib yesterday. Today, we saw a nice climb in the morning, followed by declines as the stock seems to be correcting. So below, we’ll talk about the presentation that got investors so excited, discuss what we’re seeing today, and talk about what we can expect to see from AVEO moving forward. So, let’s get right to it…
AVEO Pharmaceuticals Presents Positive Tivozanib Data
Yesterday, AVEO Pharmaceuticals released positive data with regard to it’s leading product candidate known as tivozanib at the ASCO 2015 conference. In the study, patients that suffer from metastatic renal cell carcinoma were randomized with one group receiving tivozanib, one group receiving sorafenib by Bayer (OTCPK: BAYRY), and the final group receiving Nexavar by Amgen (NASDAQ: AMGN). The data release showed that progression-free survival and overallsurvival came in at 14.6 months and 29 months respectively. As a result of the positive news, the company’s stock climbed in a big way.
What We’re Seeing From AVEO Today
While AVEO climbed in early morning trading, the stock went through a correction that started just after 9:30 am. Since, the steep declines have slowed and we’ve seen slow and steady movement bringing the stock a bit further down, but not yet below yesterday’s close. Currently (12:35), AVEO is trading at $2.37 per share after a gain of 3.95% so far today.
What We Can Expect From AVEO Moving Forward
Moving forward, I’m expecting to see more gains both in the short and long term outlook. Here’s how I see it…
- Short Term – In the short term, it seems like AVEO may continue to test support at $2.35 for a bit, but I don’t see a break in the support direction happening. Instead, I think that investors will push this thing further up either by the end of the day or moving into trading tomorrow.
- Long Term – In the long run, I’m expecting to see even more gains. AVEO recently sought FDA guidance with regard to this specific study, and things seem to be going as planned. So, I’m expecting more good news about tivozanib. However, even outside of tivozanib, I’m impressed with the company. AVEO Pharmaceuticals continues to work in an effort to expand their pipeline of candidates and improve upon the candidates they currently have. In the long run, I’m expecting that tivozanib will find approval and that AVEO Pharmaceuticals will continue to work to achieve approval for more and more treatments. All in all, this should lead to gains in the stock.
What Do You Think?
Where do you think AVEO is headed and why? Let us know in the comments below!