Geron stock pops on FDA approval for blood cancer drug

Shares of Geron (GERN) are trading higher Friday, propelled by the recent Food & Drug Administration (FDA) approval of the company's blood disorder drug, Rytelo. The treatment is for adults with low- to intermediate-1 risk of myelodysplastic syndromes, a type of cancer.

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This post was written by Angel Smith

Video transcript

All right.

Our next trending ticker is Jared the biotech company watching its shares soar after FDA approval of righto, a treatment for blood cancer.

And, um, I was looking at some ANA analyst commentary here.

I do have a street rep and here's Wedbush, uh, they rate the stock and outperform with a price target of $7.

Saying the label constitute constitutes a best case scenario with no black box warning of any adverse events.

So the back story on this there's a new blood disorder drug hitting the market.

They had to get FDA approval.

They don't have to put that big black black box warning label on it, so that is seen as a potential tailwind.

And here's why.

This is really important.

This company has no products.

This is one of those biotech companies.

This one has been public since 1996 and has had stuff in development.

This would be the first go to market drug for this company treatment for this company.

Um, so that's why it's a big deal and a bigger deal again because, as you say, it's not gonna have that black box warning year to date.

The stock has more than doubled.

Um, the market cap now is about $2.8 billion or so, but I find these sort of, like, pre product biotech companies fascinating.

That can go on for years and years.

And then finally, their research sort of comes to fruition, you know, and the charts of these companies, they all kind of, uh they all rhyme.

And if we can go to the Wi Fi Interactive, I'm gonna show you the year to date for it looks like a normal chart.

But let me just show you the last 20 years, all of these spikes here, it almost looks like a meme stock.

Every every few years, somebody gets interested.

But these are These are approvals.

These are new drugs, people getting excited.

These are just press releases, you know, one way or the other.

And in the end, uh, there's just a tremendous amount of volatility.

But if I put the max chart in, you can see way back around the.com bubble and bust.

There is a huge spike there.

So, uh, they have been higher in the past