Conatus Pharmaceuticals (NASDAQ:CNAT) has been a lousy pick. Since I last wrote on the company,
the shares have dropped more than 40% as investors have fled
higher-risk biotech stories. That fellow liver disease specialist Intercept Pharmaceuticals (NASDAQ:ICPT)
was down just about as much before an encouraging mid-August trial
update is cold comfort, and the company's recent habit of pushing back
expected trial data read-outs doesn't help what is already a challenging
situation.
Early-stage biotechs are volatile (that goes with the
territory) and I'm still bullish on the company's prospects. The company
will be announcing data from multiple studies later in 2014 through
early/mid-2015 and those announcements could bring momentum back into
the shares if the data look strong. I've lowered my expectations a bit
(due to longer timelines), but Conatus still looks like it could double
from here.
Read the full article here:
Conatus Pharmaceuticals Down On Low Enthusiasm For High Risk
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