Ocular Therapeutics Inc (NASDAQ: OCUL) is having an overwhelmingly rough day in the market today, and this one’s definitely an interesting story. You see, it all seems to have something to do with the fact that the company is expecting a CRL relatively soon, but hasn’t provided much by way of updates. As a result, fear seems to be hitting investors and the stock is falling, prompting an alert from our friends at Trade Ideas. At the moment (10:26), OCUL is trading at $8.44 per share after a loss of $1.06 per share or 11.16% thus far today.
What’s The Deal With OCUL?
At the moment, there is no news that has recently been released by Ocular Therapeutics. However, when no news is released, investors often look at it as bad news. Especially when it seems like a lot would be going on, and for investors, that’s the case.
You see, in February of this year, OCUL resubmitted the New Drug Application surrounding DEXTENZA (dexamethasone insert) 0.4 mg. The application was for the indication of intracanalicular use for the treatment of ocular pain occuring after ophthalmic surgery. The target action date under the Prescription Drug User Fee Act (PDUFA) comes in at July 19th. So, by the 19th of this month, the United States Food and Drug Administration will release a Complete Response Letter, or simply CRL, with regard to the treatment.
With this news just a week and a half away, investors are expecting some communication from the company by way of press release or other means. However, that’s not the case. Nonetheless, I want to remind you that this is nothing new! The reality is that throughout the history of biotech, it hasn’t been uncommon for companies to avoid releasing news when near a major date like a PDUFA date. So, the simple fact that OCUL hasn’t released any news lately, well, that’s not a big deal my friends. The big news is coming soon!
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What We’ll Be Watching For Ahead
Moving forward, the CNA Finance team will be keeping a close eye on OCUL. In particular, we’re interested in following the process with regard to DEXTENZA. With a plan already in place for the launch of the treatment, if this is approved, it could become a massive catalyst for the stock.
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