Stellar Biotechnologies Inc (NASDAQ: SBOT) is flying early on in the market this morning, and for good reason. The company released data that proved to be positive. Of course, the positive results excited investors, sending the stock screaming for the top. Today, we’ll talk about:
- The data;
- what we’re seeing from SBOT as a result; and
- what we’ll be watching for ahead.
SBOT Announces Positive Data
As mentioned above, Stellar Biotechnologies is having an incredibly strong start to the trading session this morning after the company announced positive clinical results. In a press release issued early this morning, the company announced the successful completion of a research study surrounding molecular comparison of its KLH products.
The quality analysis was completed as part of the company’s initiatives to support later stage clinical trials of drug candidates that use KLH as a carrier molecule and immunostimulant. SBOT said that as part of the study, third party researchers analyzed the patters of carbohydrates that attach themselves to the KLH protein. This is done through a biologic process knowna s glycosylation. In the release, the company said that the compositional profile of glycans are believed to inhance the immunogenicity of KLH. KLH has never been synthesized, partly as the result of the large size and complexity of the glycosylation. In the release, the company said that study results demonstrated highly consistent molecular structure from batch to batch. This consistency is a key attribute for a biologically sourced protein. In a statement, Dr. Gregory T. Baxter, Ph.D., Executive Vice President of Corporate Development at SBOT, had the following to offer:
These results confirm that our production and manufacturing processes are able to reliably produce a consistent product. The data showed that glycan site occupancy and site-specific glycosylation were equivalent among the production lots tested, among other findings.
What We’re Seeing From The Stock
One of the first lessons that we learn when we start to dig into the market is that the news causes moves. In the case of Stellar Biotechnologies, the news proved to be overwhelmingly well. After all, the strong data will be used to support later stage studies, ultimately helping the company break out of the clinical stage and into the commercial stage. So, it’s no surprise that excited investors are sending the stock screaming for the top this morning. Of course, our partners at Trade Ideas were the first to alert us to the gains. At te moment (8:46), SBOT is trading at $2.38 per share after a gain of $0.73 per share or 44.24% 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 SBOT. In particular, we’re interested in following the story surrounding the company’s ongoing work with regard to KLH. Nonetheless, we’ll continue to follow the news closely and bring it to you as it breaks!
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