Genocea Biosciences, Inc. (NASDAQ: GNCA)
Genocea Biosciences, Inc. (GNCA), a biopharmaceutical company announced on Monday that their top line results from Phase 2a Trial for GEN-004 did not achieve statistical significant results compared to the placebo. GEN-004 is the company’s universal vaccine candidate for pneumococcus.
Genocea Biosciences, Inc. CEO Comments
“We are currently working with our advisors to better understand these results and to determine a next step for this program. While we did not hit statistical significance in this study, the consistent apparent effect gives us confidence in the vaccine concept and in the potential for GEN-004. At this time, we believe it is possible that future trials would require a change in some combination of dose, adjuvant or trial population to confirm any effect,” said Chip Clark, president and chief executive officer of Genocea. “For the time being, we are removing the development of GEN-004 from our near-term plans to focus our resources on the ongoing Phase 2 program for GEN-003, our immunotherapy for genital herpes, for which we recently announced positive six-month efficacy results, and on maximizing the potential of our preclinical pipeline and our ATLAS technology for T cell target discovery.” Business Wire
GNCA Technical Analysis
GNCA gapped down in price yesterday to $5.30, down from the prior day’s close of $7.23 which is a 27% decrease in price based on unfavorable news. Taking a look at the daily chart, we can see that we are in unchartered territory as we are now at the all time low of the stock. Taking a further look back on the chart, we can see the stock has been trending downwards dating back to July 20 when it was trading at its 52 week high price of $16.18. More recently, the stock tried to rebound on October 9th when it was trading at lows of $5.95 and bounced to highs of $8.20 on October 13th, or equivalent to a 38% spike in price. However, with the gap down, the stock has given back all of that move and more. The stock did reach pre market lows of $4.05 meaning that it moved back up $1.25 at the open, or equivalent to 31%. For trading purposes, my entry point short would have been $5.25 with a possible add on at $5.00 looking for a move to $4.50. My stop loss would have been $5.50 fearing anything above that and the stock would start to fill in the gap down.
Genocea Biosciences, Inc., a biopharmaceutical company, discovers and develops novel vaccines and immunotherapies to treat infectious diseases. The company uses its proprietary discovery platform, AnTigen Lead Acquisition System, to design vaccines and immunotherapies that act through T cell immune responses. Its lead product candidate is GEN-003, a therapeutic vaccine or immunotherapy that is in Phase II trials to treat genital herpes infections. It is also developing GEN-004, a Phase II vaccine for the prevention of pneumococcal infections; GEN-001 that is in pre-clinical product candidate for treating chlamydia prophylaxis; GEN-002, which is in pre-clinical stage for the treatment of HSV-2 prophylaxis; and GEN-005 that is in research stage for treating malaria prophylaxis. The company was founded in 2006 and is based in Cambridge, Massachusetts. Yahoo Finance