Upload
the-motley-fool
View
3.598
Download
0
Embed Size (px)
Citation preview
Why Ophthotech Shares Soared In October
What:Clinical-stage biotech working on vision-restoring medicine.
Completes enrollment in critical trial.
Source: Flickr user Ali T.
Ophthotech Corp.
Shares soar 23.2% in October:
So What:Hit enrollment target for Fovista phase 3 study.Fovista for use alongside Novartis’ Lucentis.Targeting wet age-related macular edema.Second of two phase 3 studies to complete enrollment.Data from both studies expected Q4 2016.
So What:Wet age-related macular degeneration is a big market.Dominated by Lucentis, Regeneron’s Eylea, and Avastin.$6.1 billion market (and growing).
So What:Potential to become standard of care.Increased vision by 10.6 letters on standard eye chart.Outperformed 6.5 letter improvement for Lucentis monotherapy.
Source: Flickr user GoRun26
Now what:Novartis locked up ex-U.S. Fovista rights in May 2014.$200 million to Ophthotech upfront.Phase 3 enrollment milestone of $130 million.Ex-U.S. regulatory & sales milestone potential of $700 million plus royalties if commercialized.
Now what continued:Expanding potential.Third phase 3 study still enrolling patients.Studying use in combination with Eylea or Avastin.• Off-label Avastin accounts for 60% of wet-AMD
market sales.
Now what continued:
Mega multi-billion dollar target market.Adjunct strategy could be treatment agnostic.FDA new drug application potential in 2017.
Source: Flickr user stockmonkeys.com
Now what continued:
Top tier market partner in Novartis ex-America.Retains U.S. marketing rights.$426 million in cash and no debt.
High risk/reward investment option for risk tolerant investors.
This iSecret stock could make Ophthotech’s pop look tiny.