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Drug Stock Surges Near Top of Nasdaq on Phase 1 Results

ADVM has roared 275% higher over the past 12 months

Managing Editor
Feb 10, 2020 at 1:54 PM
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One biotech in focus this afternoon is Adverum Biotechnologies Inc (NASDAQ:ADVM), the equity surging near the top of the Nasdaq Composite (IXIC) after revealing an upbeat, early stage trial data for its macular degeneration gene therapy drug. Specifically, the trial drug did not need "rescue injections" to control the disease. In response, ADVM is enjoying a 22.6% lift to trade at $12.55.

Digging deeper, Adverum Biotechnologies stock has seen significant improvement over the past few months, now up over 150% from its late-September bottom. The 200-day moving average emerged as support in late-January, and combined with today's surge, now has the equity up a nearly intangible 275% in the past 12 months. 

Short interest has climbed 6.2% on ADVM during the most recent reporting period, and now represents 14.8% of the stock's total available float. At the security's average pace of daily trading, it would take shorts more than seven days to re-purchased their bearish bets.

Lastly, analysts have yet to weigh in on the upbeat drug data, but coming into today looked pessimistic. Four of six covering firms sport a "hold" recommendation, though no "sells" are on the books. 

 
 

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