Medivation Initiates Phase 2 Trial of MDV9300: Stock Rises 5.7%
The Seesaw Battle Continues in the Biotech Sector
IBB’s moving averages trend improves
The moving averages trend of the iShares Nasdaq Biotechnology ETF (IBB) is showing an improved trend. As of December 21, 2015, 53% of the stocks were trading above their 20-day moving averages, 60% were trading above their 50-day moving averages, and 44% were trading above their 100-day moving averages.
As of December 15, 2015, 16% of IBB stocks were trading above their 20-day moving averages, 38% were trading above their 50-day moving averages, and 28% were trading above their 100-day moving averages.
The above graph reflects the different moving averages trend of IBB holdings. As of December 21, 2015, 77 out of 144 stocks were trading above their 20-day moving averages, 87 were trading above their 50-day moving averages, and 64 were trading above their 100-day moving averages.
Medivation initiates Phase 2 trial of MDV9300: Stock rises 5.7%
Medivation (MDVN) stock rose 5.7% on December 21, 2015, on news that the company is initiating its Phase 2 trial of MDV9300. According to the press release, MDVN announced “the initiation of an international Phase 2 clinical trial that will evaluate the safety and efficacy of MDV9300 (pidilizumab) in patients with relapsed or refractory diffuse large B-cell lymphoma (DLBCL). In light of the unmet medical need in this area, a positive outcome in this trial has the potential to support registration for this indication in the U.S. and European Union utilizing available expedited pathways.”
MDVN closed at $46.27 and was trading above its 100-day moving average. Year-to-date, the stock has given a return of 15.5%. MDVN has an RSI (Relative Strength Index) of 56, indicating the stock is neither oversold nor overbought. MDVN’s trailing 12-month (or TTM) price-to-earnings (or PE) stood at 29.1x. The book value of the stock is $4.11 per share. With its current price, the stock is trading at a price-to-book value (or PBV) of 11.27x. MDVN has a weight of 1.1% in IBB’s portfolio.
The other stocks that are trading above their 100-day moving averages are Myriad Genetics (MYGN), DYAX (DYAX), and Alexion Pharmaceuticals (ALXN).
Browse this series on Market Realist:
