Why Celldex Therapeutics, Inc. Stock Jumped Higher Again Today
Image source: Getty Images.
What happened
Shares of Celldex Therapuetics (NASDAQ: CLDX)are up 10.5% at 3:37 p.m. EST after the biotech presented data on CDX-1140 at the Society for Immunotherapy of Cancer (SITC) annual meeting on Saturday.
So what
You're forgiven if you've never heard of CDX-1140; the drug hasn't started clinical studies yet. The preclinical data presented at SITC showed that the drug could bind to its target, CD40, turning on the receptor that activates the immune system, which can then attack a tumor. Celldex is completing the preclinical development for CDX-1140, with plans to start clinical development next year. The ultimate plan is to test CDX-1140 in combination with other immunotherapies or conventional cancer treatments.
Normally preclinical data wouldn't send shares up by a double-digit percentage, but these aren't ordinary times. The biotech sector is still enjoying some post-election euphoria since Hillary Clinton won't be able to lower drug prices. And for Celldex specifically, the biotech has been quite volatile lately as it waits for data from its two lead drugs, glembatumumab vedotin andvarlilumab. Shares made another double-digit jump last week after what appeared to be a news-less earnings report.
Now what
Long-term investors can ignore the moves up -- and likely some future news-less moves down -- because none of it really matters to the long-term valuation, which will be defined by whether glembatumumab vedotin andvarlilumab make it to market.
Forget the 2016 Election: 10 stocks we like better than Celldex Therapeutics Donald Trump was just elected president, and volatility is up. But here's why you should ignore the election:
Investing geniuses Tom and David Gardner have spent a long time beating the market no matter who's in the White House. In fact, the newsletter they have run for over a decade, Motley Fool Stock Advisor, has tripled the market.*
David and Tom just revealed what they believe are the ten best stocks for investors to buy right now... and Celldex Therapeutics wasn't one of them! That's right -- they think these 10 stocks are even better buys.
Click here to learn about these picks!
*Stock Advisor returns as of November 7, 2016.
Brian Orelli has no position in any stocks mentioned. The Motley Fool recommends Celldex Therapeutics. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.