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Surging MKT biotech companies sucked down with slumping market

Chris Parry Chris Parry, Equity Guru
0 Comments| January 24, 2014

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A shower of meteoric biotech stocks on the NYSE-MKT were bumped off their usual trajectory Friday as concern over emerging markets saw a general slump hit speculation assets, and long-surging biotech in particular, with drops of between 5% and 8% almost across the board as investors took cash out of the market.

Neuralstem Inc (MKT:CUR, Stock Forum), a developer of central nervous system treatments, saw one of its bigger drops since it began its 189% rise since April 2013, peeling away 8.1% on 2 million trading volume. There was no news released to explain the drop.

Cel-Sci Corporation (MKT:CVM, Stock Forum), a cancer treatment biotecher, had been righting its ship since early December, clawing back from $0.60 to $1.16 Thursday, but Friday saw 7.7% leave the stock with 4.8 million shares traded, closing it at $1.07. It had posted news of government approval of a head and neck cancer medication in Serbia the day before.

Liberator Medical (OTO:LBMH, Stock Forum), a direct-to-consumer medical supplier, interrupted its 761% rise over the past year to shed $0.41, dropping to $4.93, just three days after releasing a statement confirming management ‘knows of no events that could have caused unusual market activity’ that had seen it run the board upwards.

Organovo Holdings (OTCQX:ONVO, Stock Forum), a three-dimensional bioprinting company that ‘prints tissue’ for medical uses, was another surprising loser Friday, having lifted from $3.27 to $11.50 over the last nine months. It lost 7.5% to sit at $9.12.

Electromed (NASDAQ:ELMD, Stock Forum), which supplies airway clearance products and jumped 340% over Christmas when they received FDA clearance for their Smartvest product, also climbed down 7.2% today with no news.

ImmunoCellular Therapeutics (OBB:IMUC, Stock Forum), Mast Therapeutics (MKT:MSTX, Stock Forum), Navidea Biopharmaceuticals (MKT:NAVB, Stock Forum) and BioTime Inc. (MKT:BTX, Stock Forum) also dropped between 4% and 6%.

One of the lone stars in the MKT biotech space today was Inovio Pharmaceuticals (MKT:INO, Stock Forum), which was the second most traded on the exchange, yet crept up by a single cent, perhaps steeled by news a day ago of the unveiling of its new Immune Activator.

Biotech firms on both sides of the US/Canada border have been on a run over the last twelve months, with many making triple digit gains.


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