Proteostasis Therapeutics Inc (NASDAQ: PTI) has been an interesting stock to watch as of late. Last week, on the 6th, the company saw strong gains after announcing Board of Directors appointments. However, in the following sessions, the stock largely gave up gains.
Today, we’re seeing more strong movement out of PTI. This time however, there’s no news out. Nonetheless, based on conversations in social investor communities, there could be some exciting news coming. Today, we’ll talk about:
- Potential catalysts ahead;
- what we’re seeing from PTI stock as a result; and
- what we’ll be wtching for ahead.
Potential Catalysts Coming Down The Line For PTI Investors
For those of you who have not been following Protiostasis Therapeutics, the company is in the clinical stage biotechnology space with a focus on the treatment of cystic fibrosis.
At the moment, PTI has two ongoing clinical trials, both of which are enrolling. The most recent update provided was made in mid-to-late December, when the company announced an enrollment update and suggested that data would be coming in the first quarter of 2019.
Considering that we are sitting right in the midd of the first quarter, investors are exciting, hoping that data will be released sooner rather than later. However, I do want to point to a red flag in the most recent update provided by PTI.
The the press release issued in December, the company said that it will be presenting complete efficacy data in the first quarter of 2019. However, a key statement made after that was:
The Company previously planned to report preliminary results from the triplet study by dose cohort as each dose cohort was completed, beginning with a low-dose cohort.
There’s a big question surrounding this statement. Why was it that the information was delayed by PTI? Think about it, the company intended on providing rolling chunks of data from each cohort. Did low-dose cohorts lack efficacy, is the company hoping to see stronger efficacy at higher doses, is there a problem here? While there is no insinuation that the company is dealing with issues associated with the trial, these are some real risks to consider.
What We’re Seeing From The Stock
While there are risks to consider with regard to the coming data release from Proteostasis Therapeutics, investors seem to be excited. This excitement is ultimately resulting in gains in the value of the stock. As is just about always the case, our partners at Trade Ideas were the first to alert us to the gains. Currently (11:25), PTI is trading at $4.08 per share after a gain of $0.87 per share or 27.10% thus far today.
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What We’ll Be Watching For Ahead
Moving foward, the CNA Finance team will continue to keep a close eye on PTI. In aprticualr, we’re interested in following the story surrounding the company’s continued efforts to bring its cystic fibrosis products to market. However, considering the delay in data, I am concerned that low-dose cohorts may have resulted in less than desirable results. Nonetheless, we’ll continue to follow the story closely and bring the news to you as it breaks!
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