BeyondSpring (BYSI) stock gained 176 percent on Aug. 4 and was up nearly 8 percent in the premarket trading session on Aug. 5. Why is BYSI stock going up and how high can it reasonably go? Will it reach $100?
BeyondSpring is a clinical-stage biotechnology company that develops novel therapeutics for cancer patients. The company's lead asset is the plinabulin, which treats non-small-cell lung cancer.
BeyondSpring’s clinical results
On Aug. 4, BeyondSpring reported encouraging clinical trial results for plinabulin. The company said that the Phase 3 DUBLIN-3 trial reached its primary endpoint of increasing overall survival (OS), along with key secondary endpoints like improving overall response rate (ORR), progression-free survival rate (PFS), and the significant reduction in incidence of Grade 4 neutropenia.
The combination of plinabulin plus docetaxel showcased a significant survival benefit compared to docetaxel alone to treat second-line and third-line non-small-cell lung cancer (NSCLC). In the press release, BeyondSpring’s CEO Dr. Lan Huang said that “the strong results from DUBLIN-3 further validate our conviction that plinabulin, as an immune anti-cancer agent, has the potential to be a cornerstone therapy for many solid tumors.”
BYSI’s stock forecast
According to MarketBeat, analysts' average target price for BYSI stock is $73.33, which is 176 percent above its current price. Currently, BYSI stock is being covered by three Wall Street analysts. All three of the analysts have a buy rating.
BYSI stock is a good investment, but not at this price.
BeyondSpring expects to receive clearance for plinabulin plus docetaxel to treat NSCLC from the FDA and China's National Medical Products Administration (NMPA). The biotech company anticipates filing its new drug application (NDA) in 2022. A successful cancer therapy could be a long-term win for BeyondSpring. Investors should be prepared for another stock offering since the stock price has skyrocketed.
Will BYSI stock go up more?
BYSI stock is down 3 percent in the premarket trading session on Aug. 5 as of 7:54 a.m. ET. The stock could witness a sell-off in the near term as investors book profits.
Is it too late to buy BYSI stock now?
BYSI stock rose too much, too quickly. Therefore, investors might be better off selling BYSI stock now and pocketing the profits. Buying BYSI stock at a three-year high price doesn’t seem to make sense even from a long-term perspective.
How high can BYSI stock go?
It’s hard to forecast how high BYSI stock could go in the near term since the share price is influenced by investor sentiments. Among brokerages, BYSI’s highest target price is $100.
Will BYSI stock hit $100?
For BYSI stock to reach $100 from the current price, it would need to rise 276 percent. On Aug. 4, H.C. Wainwright analyst Joseph Phantginis upgraded BYSI stock from neutral to buy with a target price of $100. The analyst said that the latest clinical trial results are impressive. Phantginis added that “the data represent a significant improvement in later line lung cancer patients, warranting a dramatic shift to the investment thesis.”