Titan Pharmaceuticals, Inc. (OTCBB:TTNP) Jumps on Optimistic News
Pharmaceutical stocks like Titan Pharmaceuticals, Inc. (OTCBB:TTNP) have always commanded interest for long-term investments and most of them don’t sway that much. Their steady movements rely on big promises for commercial success and they usually move steadily through the charts. That is until we see some definitive news, which cause them to sway both ways depending on the content of the press releases.
We saw such movements when TTNP received a “No” from the Food and Drugs Administration (FDA) for their anti-addiction treatment in the end of April. Back then the ticker was hovering around the $2 mark and the news instantly crushed it in a session that saw a lot of dumping, after people who disliked the news started shedding their holdings in order to minimize their losses.
In a single session TTNP lost a massive 74% and ended up priced at $0.43 with a total of 18 million traded shares. Since then, the stock has been slowly recovering and recent news might drive it above the $1 mark.
TTNP closed last week with a decent Friday session in which the company stock added 14% to its value ending up with $0.7004 per share. The amount of shares that switched hands in the end of the day suggested a renewed interest in the ticker and was estimated at 2.68 million, which helped generate a healthy trade value of $1.8 million.
It couldn’t be any other way after TTNP filed a Form 8-K about a scheduled meeting with the FDA to discuss Probuphine, that will take place on November 19, 2013. The jump was small and it is not certain if the ticker will continue to rise and go beyond $1 per share, because it is a Type C meeting at which the available data from the studies conducted to date will be discussed alongside the regulatory path that is ahead, before an approval can be granted.
Any positive news might help the stock gain more value, because the date scheduled is more than a month away and there is no reason for the stock to slide down in the anticipation, especially if the company keeps up the hype. However, there are still many unknowns and it’s not sure if the company’s treatment will be approved at all. This is the main reason for which we urge you to do a lot of due diligence and weigh out the risks before making a decision to invest in TTNP.
Another pharmaceutical company that is having a hard time with the FDA is Affymax, Inc. (OTCMKTS:AFFY), who were traded on the NASDAQ until they voluntarily recalled their drug OMONTYS from the market, after an investigation on the side effects of the drug that caused several fatalities was initiated by the FDA and Takeda.
On the other hand Alkaline Water Company, Inc. (OTCBB:WTER) was high in our list of stocks with highest dollar volume in Friday’s session, but was unfortunately one of the biggest losers price-wise with a loss of 21% in value.
