UroGen Pharma (NASDAQ:URGN) Stock Surges 135% In a Week: Is It Sustainable?
There have been a number of stocks that have managed to make considerable moves over the past week or so and one of the more notable ones is UroGen Pharma (NASDAQ:URGN). The stock continued to be in sharp focus last Friday and soared by 26% to take its gains over the past week to as much as 135%.
In light of such considerable gains, it may be a good time for investors to take a closer look into the company. The major trigger for the rally in the UroGen Pharma stock on Friday came about after the company announced positive phase 3 results from the Phase 3 trial for a bladder cancer therapy offering. Up until that time, the stock had clocked gains of as much as 152% for the year.
The company is mainly focused on urothelial and specialty cancers. The announcement with regards to the positive phase 3 results for the product UGN 102 had come about last Tuesday. The company had actually conducted two trials and shared the results for both last week. Importantly, both trials had crucially hit the primary endpoints of the trial. In the first of the two trials, UGN 102 managed to hit a complete response rate of 64.8%.
In the second trial, the company managed to meet its primary endpoint in the treatment of LG-IR-NMIBC by recording a complete response rate of 79.2%. UroGen Pharma announced on Friday that it also expected more data from the dial in 2024 and it would also file for a new drug application to the United States Food and Drug Administration for the product concurrently.
A non-surgical solution to bladder cancer is something of a holy grail in cancer research and that is one of the reasons why UroGen Pharma is expected to be in the conversation among investors looking into such companies. The company noted that the therapy could help as many as 80,000 people in the United States alone and could serve an annual market that is estimated to be worth $3 billion. If the product eventually gets approval then it would be the second marketed therapy from UroGen.
The other product that is marketed by the company is Jelmyto, which is designed for the purpose of treating low-grade upper tract urothelial cancer. It ought to be pointed out that in the first fiscal quarter, the company recorded revenues of $27.5 million, all from sales of Jelmyto.
On July 25, the company announced that it had appointed a new member to its board of directors in the form of James Robinson. He had formerly been the Chief Executive Officer and Chairman of Urovant Sciences. The appointment went into effect immediately. The President and Chief Executive Officer of UroGen Liz Barrett spoke about the appointment as well.
He noted that everyone at the company was thrilled at having been able to welcome Robinson to the Board of Directors. She went on to add that Robinson’s background was in line with the members of the current board.