CytoDyn (CYDY) Stock Moves Up: Will The Bounce Back Continue?
The CytoDyn Inc (OTCMKTS:CYDY) stock has seen considerable action this week owing to the events of the week so far but on Thursday, it managed to recover a bit.
The company got a major setback earlier on this week after the United States Food and Drug Administration dished out a public rebuke to CytoDyn and alleged that it had cherry picked data in order to show that its product leronlimab was effective treatment for COVID 19 patients. Following that, the stock had crashed and had recorded declines of as much as 30%. However, on Thursday, the stock managed to mount a recover and went up by 13%.
In this regard, it is necessary to note that CytoDyn also made a key appointment this week and that might have resulted in restoring some degree of confidence among investors.
The company appointed Antonio Migliarese as the new Treasurer and Chief Financial Officer. In this regard, it should be noted that Migliarese had been serving as CytoDyn’s Vice President, Corporate Comptroller prior to this appointment. He will be replacing Michael D. Mulholland, who is going to serve as the vice president of finance at CytoDyn from on.
While this appointment seems to have been welcomed by the market, a bizarre chapter was opened in the company’s current run in with the FDA. Earlier on this week, the Chief Executive Officer of CytoDyn Nader Pourhassan urged the company’s investors to stop badmouthing and trashing the FDA. The statement from the FDA with regards to the clinical trial of leronlimab had clearly not impressed the company’s investors.
The CEO stated that all the badmouthing should be directed at him and requested investors to desist from abusing the agency in any way. The FDA had earlier stated that it had been forced to make a public statement about leronlimab primarily due to the considerable public interest in the product.
CytoDyn (CYDY) Stock Extends Fall: Fall Another 10%
For the past couple of years, biotech firm CytoDyn (OTCMKTS:CYDY) has come into prominence due to its work with leronlimab, which is known to work against a range of conditions.
On Wednesday, the CytoDyn stock was in action but it actually recoded a decline of as much as 10%. There was no new about the company yesterday that could have led to the decline. However, in this sort of a situation, it could be a good idea to take a look at some recent development. Back on May 6, the company announced that it was on the verge of starting the trial of leronlimab in patients who were suffering from severe symptoms of COVID 19.
The trial is going to be conducted in collaboration with the academic research organisation Albert Einstein Israelite Hospital (AEIH). The trials are going to be conducted at as many as 45 clinical sites all across the United States. In this regard, it is necessary to note that the Phase III trials are expected to deliver the data that is going to be required by ANVISA, the regulatory body in Brazil, for approving leronlimab for the treatment of COVID 19 infected patients in the country.
It was also announced that CytoDyn is looking to have an interim analysis of the data through October and November. The trial is going to enroll 120 patients suffering from critical symptoms of COVID 19. Last month, the company had announced that it signed an exclusive supply and distribution agreement with Chiral Pharma Corporation. By way of this agreement, CytoDyn is going to supply Chiral with as many as 200000 vials of leronlimab that are going to be administered to critically ill COVID 19 patients in Philippines. These are all important developments and despite the fall in the CytoDyn stock yesterday, investors could consider tracking the stock.