How Much Can FDA Approval Increase a Drug Company's Stock Value?

  • Thread starter Thread starter gravenewworld
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Discussion Overview

The discussion revolves around the potential impact of FDA approval on a drug company's stock value, particularly following the approval of a new drug. Participants explore the implications of this approval for stock prices, market reactions, and the future of the company's pipeline of drugs.

Discussion Character

  • Exploratory
  • Debate/contested
  • Technical explanation

Main Points Raised

  • One participant expresses optimism about their stock value increasing significantly due to FDA approval, suggesting a potential rise from $3.00 to $8-10.
  • Another participant questions whether a 200% increase is realistic, particularly noting the drug's application for bowel reconstruction rather than more critical conditions like cancer.
  • Some participants speculate on the legality and implications of announcing the approval before the market opens.
  • A participant mentions previous complications related to the drug's long-term use and the FDA's clinical hold, indicating uncertainty about the drug's future market potential.
  • There are discussions about the company's pipeline, including other drugs targeting opioid receptors, with varying opinions on their potential success.
  • Concerns are raised about the stock's performance post-approval, with some suggesting it may be artificially kept low for acquisition purposes.

Areas of Agreement / Disagreement

Participants express a mix of excitement and skepticism regarding the stock's potential increase. There is no consensus on the actual impact of the FDA approval on stock value, with differing views on market reactions and the drug's long-term viability.

Contextual Notes

Participants reference previous clinical trials and market behaviors, indicating a complex interplay of factors influencing stock value that remain unresolved. The discussion includes speculation about market manipulation and the future of ongoing drug development.

  • #31
sysreset said:
Gravenewworld, I think the problem is that this drug was originally intended for the OBD population, which takes meds orally, and this is an oral drug. When that bombed, it was re-targeted to the post-op ileus population. Problem is, it is still an oral drug, and the target population is "NPO" - meaning, they need an IV solution...

The drug was originally designed for both POI and OBD at the same time. I don't believe that after bowel surgery patients are restricted ONLY to IV treatment. After bowel surgery, doctors are going to try to get their patients on a solid diet as fast as possible. If a patient can eat solid food, they can take the drug. In the clinical trials for POI, patients were given pills. If the patients really needed an IV formulation, then the drug would have never gotten through for PO use.
 
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  • #32
When I saw the OP I thought he must be a high class male prostitute or something. (DC Miestro anyone?)
 
  • #33
binzing said:
When I saw the OP I thought he must be a high class male prostitute or something. (DC Miestro anyone?)

I wish I was, I wish I was... (or is it were?)