Creative Medical (NASDAQ:CELZ) stock is rocketing higher on Wednesday thanks to clearance for a new clinical trial.
That clearance comes from the U.S. Food and Drug Administration (FDA) and covers the CELZ-201 cell therapy. This is a treatment in development by the company for Type 1 Diabetes. The FDA approval allows Creative Medical to launch a Phase 1/2 clinical trial of the treatment.
Creative Medical notes that its plans with these clinical trials are evaluating CELZ-201 as a treatment for patients with newly diagnosed Type 1 Diabetes. The trial will take place at the University of Miami Health System with the help of the Diabetes Research Institute.
Dr. Camillo Ricordi, the principal investigator of the clinical trial, said the following about the news:
“I am excited to proceed with the CELZ-201 perinatal cell product in this study, as I believe that if successful it could result in a promising treatment for many patients with Type 1 Diabetes.”
What This Means for CELZ Stock
Creative Medical launching new clinical trials is good news for CELZ stock. It opens the company up to potential future profits, if the results from the studies are positive. That could also turn into gains for investors holding CELZ shares.
It looks like investors are betting on that today, with extreme buying boosting CELZ stock higher. As of this writing, more than 77 million shares have changed hands. That’s a massive surge compared to its daily average trading volume of about 188,000 shares.
CELZ stock is up 120.8% as of Wednesday morning.
There’s more stock market news traders will want to read about below!
InvestorPlace is home to all of the hottest stock market news for Wednesday! Among that is why shares of Aurora Mobile (NASDAQ:JG), Tesla (NASDAQ:TSLA) and eBay (NASDAQ:EBAY) stock are moving today. You can catch up on all that news at the links below!
More Wednesday Stock Market News
- ChatGPT Turns Aurora Mobile (JG) Stock Into Next Big AI Bet
- Dear TSLA Stock Fans, Get Ready for a ‘Master Plan’ on March 1
- EBay Layoffs 2023: What to Know About the Latest EBAY Job Cuts
On Penny Stocks and Low-Volume Stocks: With only the rarest exceptions, InvestorPlace does not publish commentary about companies that have a market cap of less than $100 million or trade less than 100,000 shares each day. That’s because these “penny stocks” are frequently the playground for scam artists and market manipulators. If we ever do publish commentary on a low-volume stock that may be affected by our commentary, we demand that InvestorPlace.com’s writers disclose this fact and warn readers of the risks.
Read More: Penny Stocks — How to Profit Without Getting Scammed
On the date of publication, William White did not hold (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.