Neuralstem, Inc. (NASDAQ: CUR) is having an overwhelmingly strong start to the trading session this morning after the company announced that it has been awarded a contract surrounding a Phase I clinical study in the treatment fo major brain trauma. Of course, the news proved to excite investors who are sending the stock on a run for the top. Today, we’ll talk about:
- The contract award;
- what we’re seeing from the stock as a result; and
- what we’ll be watching for with regard to CUR ahead.
CUR Announces Contract Award
As mentioned above, Neuralstem is having a great start to the trading session this morning after the company announced that it has been awarded a Phas I Small Business Innovation Research (SBIR) contract by the Department of Defense (DOD). The award comes with funding in the amount of $150,000 that will support the company’s ongoing development efforts surrounding the NSI-566 human neural stem cell line as a candidate for the indication of severe Traumatic Brain Injury (TBI).
In the release, CUR said that about 3 to 5 million people in the United States have a disability that is ultimately the result of TBI. The primary treatment method at the moment is rehabilitative therapy. However, CUR aims to change that through an ongoing collaboration with the research group of Dr. Ross Bullock, MD, Ph.D., Professor at the Department of Neurologocial Surgery and Director of Clinical Neurotrauma at the Miami Project to Cure Paralysis. In a statement, Rich Daly, President and CEO at CUR, had the following to offer:
We are very pleased and appreciative that the DoD has chosen to fund this project… Severe TBI represents a significant unmet medical need, and we are excited to continue our preclinical studies to establish the therapeutic potential of neural stem cells in this indication.
What We’re Seeing From The Stock
One of the first things that we figure out when we start to work in the market is that the news causes moves. In the case of Neuralstem, the news proved to be overwhelmingly positive. After all, the new contract from the Department of Defense will add further support on a financial level and more, for the company’s development of their neural stem cell therapy. Considering this, it’s no surprise that excited investors are pushing the stock upward in the market this morning. At the moment (8:00), CUR is trading at $1.85 per share after a gain of $0.15 per share or 8.82% thus far today.
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What We’ll Be Watching For Ahead
Moving forward, the CNA Finance team will continue to keep a close eye on CUR. In particular, we’re interested in following the story surrounding the company’s ongoing work to bring its neral stem cell therapy to fruition, not only assisting patients with TBI and other ailments, but generating a strong return for investors in the process. Nonetheless, we’ll continue to follow the story closely and bring the news to you as it breaks!
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