Today, high-flying Ocugen (NASDAQ:OCGN) is a stock that appears to be taking a breather. Indeed, OCGN stock has been one of the best performers in October, approximately doubling last month. Thus, perhaps today’s 3% downside move is one that’s healthy for the stock on its rise higher.
However, investors appear to continue to be bullish on Ocugen’s ability to get authorizations for use in the U.S. or Canada in short order. India-based Bharat Biotech’s key partner in North America, Ocugen stands to benefit from any movement at all with getting Bharat’s Covaxin Covid-19 vaccine approved, anywhere.
This week, the World Health Organization (WHO) is meeting to review an emergency use listing for Covaxin. As it turns out, Nov. 3 (tomorrow) is slated to be a potentially game-changing day for OCGN stock.
Let’s dive into what may or may not materialize tomorrow and why OCGN stock is one to keep on the radar this week.
OCGN Stock Down Ahead of Potential WHO Ruling on Covaxin
There’s a lot riding on the aforementioned WHO meeting for Ocugen. A company that’s faced Food and Drug Administration (FDA) hurdles in the past, Ocugen is in serious need of some sort of regulatory approval for its drug. A WHO approval could pave the way for Ocugen to begin marketing Covaxin in key North American markets — the U.S. and Canada.
Nov. 3 has been slated as the earliest the WHO would be willing to review and make a decision on Covaxin. That said, the WHO did meet to discuss Covaxin last week. Regulators ended up delaying its decision on the basis of needing more information.
Accordingly, today’s price action in OCGN stock suggests investors may believe that the WHO will need more time to review Covaxin before publishing a final decision on the emergency use authorization for this drug.
Whether or not a final decision comes tomorrow, it’s important to zoom out on OCGN stock. This is a biotech stock that has absolutely taken off this year. Accordingly, there’s likely some profit-taking at these levels ahead of a decision.
Tomorrow could be a pivotal day for OCGN stock. Accordingly, this is a stock investors should keep on their radar right now.
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.