Everybody loves promising biopharmaceutical news, regardless of whether you’re a shareholder or not; getting news of a promising treatment for a sinister disease is something to laud. However, there’s something very, very sweet about betting on a biopharma outfit with an investment and seeing that holding rocket on news of a breakthrough. Today, investors in Cytokinetics, Inc. (NASDAQ:CYTK) know that feeling. CYTK stock is flying upward today, thanks to an announcement from the company regarding its heart disease drug trial.
California-based Cytokinetics is focused on alleviating conditions related to heart and muscle functions. Heart failure, ALS, spinal muscular atrophy and other devastating illnesses are among those Cytokinetics seeks to treat. To succeed in this goal, the company ideates, develops, tests and commercializes its treatments entirely in-house.
Investors today are seeing Cytokinetics target heart disease — specifically, hypertrophic cardiomyopathy. HCM is an illness in which the the heart muscle sees unusual thickening. Some early trial results by the company are showing great optimism in a treatment for the disease, and it’s boosting CYTK stock.
CYTK Stock Boosted, Thanks to REDWOOD Clinical Trial
CK-274, the oral drug that Cytokinetics is testing, is showing positive topline results among its two testing cohorts, according to the company’s newest press release. The trial, taking place under the name REDWOOD-HCM, is reporting significant reductions in resting left ventricular outflow tract pressure.
The double-blind REDWOOD trial consists of two cohorts of patients, each of which seek random treatment with CK-274 and a placebo. The company says nearly 80% of patients in the first cohort, and 93% of patients in the second, reached trial goals in terms of pressure reduction in the left ventricular. Additionally, the researchers say the trials brought forth no significant side effects among subjects.
With this news, Cytokinetics is preparing to move forward with phase 3 trials of the CK-274 drug. The company is also currently planning for the publication of the study, and taking it to a future medical conference to share more robust detailing.
The news is still relatively preliminary; the company has a long way to go before commercialization. However, investors are hyping themselves up with the news. Well over 27 million shares of CYTK stock are changing hands in the first hours of today’s trading session. That’s much higher than CYTK’s daily average volume of just 766,000. CYTK stock’s value is lifting off in a huge way as well, seeing gains of over 48%.
On the date of publication, Brenden Rearick did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.