Today, Canadian clinical-stage biotech company Cardiol Therapeutics (NASDAQ:CRDL) is seeing impressive investor interest although the biotech firm closed down about 2%. However, CRDL stock has been a big mover in the past few months, nearly doubling since the beginning of August.
The company’s focus is on research and development around anti-inflammatory drugs for cardiovascular disease. Investors appear particularly interested by its use of cannabidiol (CBD) in its CardiolRx oral medication.
Indeed, the link between cannabis and various treatments receives great attention. However, commercializing said products can be a difficult task.
Yesterday, Cardiol received a positive boost from Health Canada (Canada’s version of the U.S. Food and Drug Administration) regarding this CardiolRx drug. Let’s dive into what investors are watching with this stock.
CRDL Stock Higher on Health Canada Clinical Trial Approval
- It’s important to note that CardiolRx has not yet been fully approved by Health Canada.
- However, Health Canada did announce support yesterday for Cardiol’s Phase 2 trials of this double-blind, placebo-controlled study.
- This clearance follows a recent FDA clearance to proceed with an Investigational New Drug application.
- Accordingly, investors are growing increasingly bullish on the potential commercial potential of CardiolRx.
- CardiolRx is a drug aimed at patients suffering from acute myocarditis.
- This inflammatory condition typically causes mild heart-related symptoms, but can be a key contributor to cardiac failure in some cases.
- Thus, investors appear to be placated by these recent regulatory approvals, and have been bidding shares of CRDL stock higher on this news.
On the date of publication, Chris MacDonald 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.