Spectrum Pharmaceuticals’ (NASDAQ:$SPPI) preliminary lung cancer data sparked a notable rally in its shares last month.
Specifically, Spectrum, a small-cap oncology company, saw its shares gaining a whopping 29.2% in October, according to S&P Global Market Intelligence. The drugmaker’s stock took flight after the company released positive interim results from a mid-stage study assessing poziotinib in patients with EGFR-positive non-small cell lung cancer.
Poziotinib’s preliminary NSCLC data were presented at the World Conference on Lung Cancer in Japan in mid-October.
Due to the malignancy of lung cancer within the medical world stage, poziotinib should be able to conjure several hundred million in annual sales even as a niche product. That’s certainly a big deal for a company that’s projected to generate only $131 million in revenue next year.
However, it’s also important for investors to understand the prematurity of such preliminary results. Poziotinib still has a long way to go before a regulatory filing is a real possibility. The company’s newly initiated multicenter mid-stage trial for poziotinib, after all, won’t read out until late 2020.
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