One of the stocks making the biggest moves in the market today is AEterna Zentaris Inc. (NASDAQ: AEZS). However, if you go looking for news via press release or SEC filing, you’re not going to find any. That doesn’t mean that there’s not a good reason for the gains, and we believe we’ve found it. Today, we’ll talk about why AEZS stock is headed up, what we’re seeing in the market, and what we’ll be watching for ahead.
Why AEZS Stock Is Headed Up
As mentioned above, AEterna Zentaris is flying in the market today. A look on the SEC website and on Yahoo! Finance tells us that there has been no news released. Nonetheless, that is incorrect. The news is there, it just has to be dug for.
Recently, the European Medicines Agency’s Committee for medicinal products for human use (CHMP) held a meeting. The meeting took place from November 12, 2018 through November 15, 2018. During this meeting, the CHMP discussed several products. One of the products being Macimorelin, the flagship candidate at AEZS.
In the meeting highlights released by the CHMP, AEZS and its investors got some very good news. The Committee recommended granting a marketing authorization for the treatment. The Committee believes that the treatment is a good option for adult patients with growth hormone deficiencies.
This is incredibly positive news for AEterna Zentaris. After all, the CHMP is much like the Advisory Committee’s we hear so much about for the FDA. While these committees have no say on the final approval or rejection of a drug, their opinions are taken very highly. So, it is very rare for the CHMP to vote for approval and have the EMA reject a drug.
With that in mind, AEZS is likely looking at an approval in the EU for Macimorelin. Soon, the company will likely have the ability to market the treatment to patients throughout the European Union.
What We’re Seeing From The Stock
One of the first lessons that we learn when we start to work in the market is that the news leads to moves. When it comes to AEterna Zentaris, the news proved to be overwhelmingly positive. After all, with the CHMP’s vote for approval of Macimorelin, the treatment is likely to see approval, becoming a revenue generator for the company. Considering this, it’s not a surprise to see that excited investors are sending the stock on a run for the top in the market this morning. Of course, our partners at Trade Ideas were the first to alert us to the gains. Currently (10:29), AEZS is trading at $2.66 per share after a gain of $0.12 per share or 4.72% thus far today.
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What We’ll Be Watching For Ahead
Moving forward, the CNA Finance team will continue to keep a close eye on AEZS. In particular, we’re interested in following the story surrounding Macimorelin and whether or not the drug is approved in Europe. At the moment, chances are looking pretty good. Nonetheless, we’ll continue to follow the story closely and bring the news to you as it breaks!