BST Position Update – March 24, 2015
. . . . Merrimack Pharmaceuticals (NASDAQ: MACK) – Sell
MACK hit a new high of $12.50 recently. And it’s currently trading for $11.57 per share. That’s a gain of 73% from our original buy price.
And we continued to recommend accumulating shares when the stock was as low as $2.00 per share. MACK has had an impressive 180% run off the 52-week lows.
Now it’s time to lock in these profits. Sell your shares of MACK now for a nice profit.
. . . . Halozyme Therapeutics (NASDAQ: HALO) – Sell
HALO has been on an amazing run this year. We sold half of the position on January 16th at $14.51 for a gain of 166%. The stock continued moving higher, reaching above $16.50.
The stock unexpectedly suffered a sharp selloff on Friday. At a current price of $14.09, we’re still up 158% on this trade. It’s time to sell the other half of our position and lock in these spectacular gains.
. . . . Rockwell Medical (NASDAQ: RMTI) – Sell
RMTI is another stock that’s been a big winner for us. At a price of $10.75 per share, it’s up an eye-popping 171%.
We sold half of the position back in October at $10.10 per share for a gain of 154%. Now it’s time to sell the other half and take down these impressive gains.
Sell the rest of your shares of RMTI now for a gain of 171%.
. . . . Synergy Pharmaceuticals (NASDAQ: SGYP) – Buy up to $4.50
SGYP has been making progress on several of the drugs they have in clinical trials. Investors have begun bidding up the stock in anticipation of data from a phase 3 trial due to be released sometime in the 2nd quarter.
The stock is now up 67% from the 52-week low after breaking out of a long term consolidation a few weeks ago. Needless to say, if the data from the trials is positive, SGYP should rocket higher.
If you don’t already own SGYP, you can buy shares up to $4.50 in anticipation of the trial results.
. . . . AcelRx Pharmaceuticals (NASDAQ: ACRX) – Hold
ACRX has come crashing back down to earth after it initially rocketed higher.
What happened?
It was believed that ACRX had done all of the testing they needed to do in order to resubmit Zalviso for FDA approval.
Then the company revealed that the FDA will require new clinical trials to test the device that dispenses Zalviso. Remember, the drug itself isn’t in question… it’s safe and it works.
It’s all about the device that dispenses the drug. And the FDA wants a new clinical trial to ensure its safety.
I’m stunned that the FDA went back on their earlier recommendation that human factor and bench testing of the device were sufficient for resubmission.
This shocking news sent shares of ACRX crashing lower. Needless to say, the FDA really put investors and ACRX through the ringer on this one.
I don’t see any fault with management at ACRX. This is purely the FDA playing Lucy and yanking the football away from Charlie Brown right before he kicks it.
Many investors decided they didn’t want to wait around for the company to do another trial. Obviously, this is a big disappointment but the selloff in stock is overdone at this point. Continue holding for a bounce.
. . . . Neuralstem (AMEX: CUR) – Hold
CUR announced top line data from their phase II trial to treat ALS.
After reviewing the data, this was a tremendous success. Does it cure ALS, no… does it help everyone with ALS, no… but it did have a dramatic impact in slowing the rate of decline in patients that responded to the treatment.
Even independent and unpaid consultants are encouraged by these results… so they’re not simply saying this because they’re getting paid to say it.
The stock is down for now… but I’m not about to pull the plug on this stock as they continue to work on a breakthrough treatment for a disease that’s a death sentence for anyone stricken with it.
. . . . Dyax (NASDAQ: DYAX) – Hold
DYAX is up 11% since we recommended it in January. It’s now above our $16.50 buy up to price.
Continue holding DYAX as we await the results of the phase 1b clinical trials of DX-2930.
Action To Take
- Sell Merrimack Pharmaceuticals (NASDAQ: MACK).
- Sell Halozyme Therapeutics (NASDAQ: HALO).
- Sell Rockwell Medical (NASDAQ: RMTI).
- Move Dyax (NASDAQ: DYAX) to Hold.
Category: BST Update
