Biotech companies focused on developing and commercializing cannabis-based treatments continue to be one of the hottest places to invest and these companies continue to run higher.
This morning, Cara Therapeutics, Inc. (CARA) announced positive top-line results from Part A of its Phase 2/3 trial and the shares are up more than 20%.
The results were extremely impressive, showing that I.V. CR845 met both primary and secondary endpoints for efficacy in patients with uremic pruritus (UP). This intractable and debilitating systemic itch condition has no approved therapies in the United States and represents a great opportunity for the company.
Cara Therapeutics President and Chief Executive Officer Derek Chalmers said, “We are extremely pleased with these results, where I.V. CR845 demonstrated sustained clinical and quality of life benefits in dialysis patients suffering from UP and supports the viability of this therapeutic approach for the long-term treatment of this unmet medical need. As a next step, we plan to meet with the FDA to finalize the trial design of Part B of this Phase 2/3 study and to initiate patient recruitment later this year.”
Ample Opportunities for Investors
Two other biotech cannabis companies on our watch list, Insys Therapeutics (INSY) and Zynerba Pharmaceuticals (ZYNE) were some of the top performers yesterday, rallying 7.7% and 4.4%, respectively.
Insys saw a positive response from the market after it announced that Saeed Motahari will take over as President and CEO on April 17th. He previously was Purdue Pharma’s Chief Commercial Officer and Vice President of United States Specialty Brand at Abbott Laboratories and AbbVie.
Motahari also led various commercial organizations at Abbott Laboratories, Bristol-Myers Squibb and Hoffmann-La Roche.
Zynerba Jumps on Positive Guidance
Zynerba represents an attractive opportunity due to its valuation, its pipeline of products, its stronger balance sheet, and its upcoming catalysts.
The stock’s move higher followed the release of its fourth quarter and full-year financial results, as well as an update regarding its recent operational highlights and potential catalysts.
Some of the operational highlights and potential catalysts highlighted in Zynerba’s earnings report include:
• Zynerba completed enrollment in the Phase 2 Clinical trial in adult with refractory epilepsy. Top-line results are expected in July/August 2017.
• In November, Zynerba initiated an open-label clinical trial in adult patients with refractory epilepsy who complete the previous trial. The trial will evaluate how ZYN002 CBD gel is tolerated across a range of doses over long-term use.
• Zynerba completed enrollment in the Phase 2 clinical trial in osteoarthritis of the knee. The company expect to report the results in July/August 2017.
A Sector to Watch
The biotech sub-sector of the cannabis industry continues to offer some of the best and most mature investment opportunities. Scientists are just starting to learn the benefits associated with cannabis and represents a great opportunity for medicine.
We are favorable on Nasdaq-traded biotech companies focused on cannabis. We view them as attractive opportunities due to our view of the companies as acquisition targets for larger biotech firms.
MAPH Enterprises, LLC | (305) 414-0128 | 1501 Venera Ave, Coral Gables, FL 33146 | new@marijuanastocks.com
