Advanced Cell Technology, Inc. (OTCMKTS:ACTC) Takes Off on Dr. Rober Lanza’s Reputation
For pharmaceutical companies, the takeoff may be sudden. Finally, after months of waiting, the loyal fans of Advanced Cell Technology, Inc. (OTCMKTS:ACTC) are having a vindication as the stem cell company shook off the downward forces and gained more than 25% on Monday to $0.074, on buying volumes of $5.1 million. So far, ACTC managed only to hover above six cents, with little encouragement from company news or promotions. ACTC opened upward on Tuesday, vaulting the 8-cent level for the first time in months.
The recent climb is not associated with a paid promotion, but two extremely positive articles from Seeking Alpha do the same work. The site’s analysts have shown their influence in launching stocks they consider to have a great perspective. The positive reviews follow two 8-K announcements for change in directors, replacing Mr. Gary Rabin and appointing Mr. Edward Myles as interim president of the company.
ACTC is a bit unusual in that it has not taken off like other tickers in the medical and pharma sector, which met 2014 with enthusiastic expectations. For ACTC, despite the fame of Dr. Robert Lanza, success seems a bit slow, as stem cells are a notoriously hard area for achieving immediate gains.
It is precisely the name of Dr. Lanza that attracted the analysts, as he is know to be an extremely imaginative, future-oriented scientist. While there may be little doubt as to the qualifications and even genius of the company’s founder, there is still the issue of when those would translate to revenues and stability. So far, no one can give an answer, but ACTC has all it takes to impress investors. And a few press releases or an email campaign could do wonders. What would be useful is a new documentary that Dr. Lanza is preparing, outlining the potential of stem cells- and narrated by none other than physicist Stephen Hawking.
So for a while, or for longer, ACTC may turn from a neglected and choppy stagnated stock into a darling of the OTC markets.
Downward pressure is usually much more corrosive to pharmaceutical companies, easily eating away the good gains. In the past weeks, several trends were bucked, and the climbs abruptly cut off. One of those was Elite Pharmaceuticals, Inc. (OTCBB:ELTP), which seemed to have all things going right in its history, but its forward-looking appearance became boring for investors. ELTP is sliding back toward 25 cents after peaking a bit above 32 cents.
As for the giant Titan Pharmaceuticals, Inc. (OTCBB:TTNP), there is little to uplift the spirits. The ticker tried again to push for 80 cents, but slid back toward the 73-cent level, as there is little expectation of good news on its long-promised anti-opioid treatment.
ACTC is underpriced enough, and if you are enticed by the upcoming fame of the company, it may turn out some short-term gains. But keep in mind that pharma tickers switch directions even with small disappointments, so avoid investing sums you cannot afford to lose in part or in whole.