The general consensus surrounding stocks and the market is that it can be an extremely volatile environment, and it seems that vTv Therapeutics, Inc. (NASDAQ:VTVT) is living up to that reputation, and it is important that potential investors keep this mind.
What does this mean? Well, vTv Therapeutics, a North Carolina-based clinical-stage pharmaceutical company, has had a busy couple of months, from announcing its Q3 financial results to disclosing a number of licensing agreements, and yet the stock still plummeted 6.32% on December 25. However, 3 days later, the stock seems to be making a comeback; the stock is moving higher and trading up nearly 40%, which to no surprise has grabbed the attention of investors around the world.
What’s Been Happening?
Before we get into why vTv Therapeutics is trading as high as it is Thursday, let’s take a look at what the pharmaceutical company has been up to as of late.
Last month, vTv Therapeutics announced its Q3 financial results, disclosing that it had made “significant progress,” adding that the progress was primarily due to its ongoing development of a number of therapies that tackle illnesses such as diabetes and Alzheimer’s.
As for the number, vTv Therapeutics reported that cash and cash equivalents came in at $20.5 million, and research and development expenses were $9.0 million. This is a decrease from the second quarter of this year ($9.6 million) and the company says it is because it was driven by decreases in spending for its STEADFAST Study. Further, vTv disclosed that its net loss, before non-controlled interest, came in at $12.4 million for Q3.
Aside from reporting its financial and operational results for the year, the company also disclosed that it signed a number of licensing agreements, two of which were with Hangzhou Zhongmei Huadong Pharmaceutical Co. and Reneo Pharmaceuticals.
Mentioned briefly, however, this news did not stop the stock from dropping on Christmas day. That said, the stock is now recovering, adding itself to Thursday’s winner’s list and it might be due to the fact that the company has been given a recommendation rating of ‘Buy’ from six different brokerages.
As of this writing, vTv Therapeutics is one of the trending tickers of the day, trading at $5.56, which puts the stock up $1.51, or 37.28%.
The Takeaway
While today’s trading session is good news for the company and its shareholders, we do not know the direction the stock will be heading in as we approach the new year, considering it has been quite volatile over the course of the past week.
Regardless of whether you are thinking about adding it to your portfolio or not, it will still be interesting to keep an eye on the stock to see whether or not it can keep its head above the water.
Featured Image: twitter
