Immunomedics (IMMU) Stock Falls Hard On ASCO News

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Immunomedics, Inc. (NASDAQ: IMMU)

Immunomedics is having an incredibly rough time in the market today, and for good reason. The company was expected to give a presentation at the ASCO, however, the presentation had been canceled. Today, we’ll talk about the news, how the market reacted to the news, and what we can expect to see from IMMU moving forward. So, let’s get right to it…

IMMU Will Not Be Giving Its ASCO Presentation

As mentioned above, Immunomedics was scheduled to give a presentation at the American Society of Clinical Oncology. The abstract presentation that the company was going to be giving was called “Therapy of refractory/relapsed metastatic tripple-negative breast cancer (mTNBC) with an anti-Trop-2-SN-38 antibody-drug conjugate (ADC), sacituzumab govitecan (IMMU-132): Phase II results.” Unfortunately, the company was informed late yesterday that its presentation has been canceled. The reason for the cancellation is there was a complaint that IMMU has violated the embargo by reporting results presented by its chairman at a conference in Apri. In a statement, IMMU CEO and President, Cynthia L. Sullivan, had the following to offer:

The presenter, Dr. Bardia, and I are attempting to reverse this with ASCO, because we believe the patient population and results reported in April were different from those in the ASCO abstract submitted last February. Both we and our many investigators involved are disappointed that our excellent therapeutic results, achieving an interim median survival of about 14 months, may not be presented at this meeting. These results are very encouraging for TNBC patients with metastatic disease who failed multiple prior therapies.”

How The Market Reacted To The News

As investors, one of the first things that we learn is that the news moves the market. Any time there is positive news released with regard to a publicly-traded company, we can expect to see gains in the value of the stock associated with that company as a result. When negative news is released, we can expect to see declines. In this particular case, the news that was released was overwhelmingly negative. When it comes to clinical oncology, it is incredibly important for companies in the field to be part of the community. The fact that Immunomedics was told that it will not be allowed to provide its demonstration is incredibly bad news. So naturally, we’re seeing heavy declines in the value of the stock at the moment. Currently (10:30), IMMU is trading at $4.42 per share after a loss of $0.88 per share, or 16.60%, thus far today.

What We Can Expect To See Moving Forward

Moving forward, I have a relatively mixed opinion of what we can expect to see from Immunomedics. In the short term, we’re likely to see further declines as investors show their disappointment with the news that was released late yesterday. However, in the long run, I have a relatively bullish opinion of what we can expect to see. Currently, IMMU is working on a few treatments that seem to be overwhelmingly promising. The presentation that was supposed to have been given at the ASCO meeting was going to show overwhelmingly promising results associated with one of the company’s treatments. All in all, as the company continues to work toward its goal, it will likely generate a strong treatment that will lead to strong profits.

What Do You Think?

Where do you think IMMU is headed moving forward and why? Join the discussion at SocialVEST!

[Image Courtesy of Pixabay]

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Hey, Im Joshua, the founder of CNA Finance. I enjoy following the trends in the market and finding the catalysts that are making the moves. If you want to get in contact with me, leave a comment below or email me at CNAFinanceHelp@gmail.com Please keep in mind that I am not an investment advisor and nor is CNA Finance. This is a news and information gathering outlet. We may work directly with some of the companies that we write about. If we have a business relationship with an issuer, we will mention that in the articles. We also have various affiliate relationships with advertisers and may be paid if you sign up for a service that you were referred to through our website.

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