Eyegate Pharmaceuticals, Inc. (NASDAQ: EYEG)
Eyegate Pharmaceuticals, Inc. (EYEG), a clinical stage pharmaceutical company yesterday reported third quarter 2015 financial results. While the numbers were not overwhelming EYEG does show promise with its lead product EGP-437, as it received an exclusive worldwide licensing agreement with Valeant Pharmaceuticals the past quarter.
Eyegate Pharmaceuticals, Inc. CEO Comments
“The third quarter was a period of significant accomplishment for the Company,” said Stephen From, President and Chief Executive Officer of EyeGate. “Our licensing agreement with a subsidiary of Valeant Pharmaceuticals provides a key validation of iontophoresis for the delivery of drug to the eye and our technology. The proceeds of our public offering, which we completed in August, are expected to fund further development of EGP-437 including the macular edema trial from which we recently reported positive interim data suggesting that our EyeGate(R) II Delivery System is able to deliver drug to the back of the eye.”
“As we move ahead, we plan to evaluate EGP-437, our patented iontophoretic dexamethasone phosphate formulation, in additional indications. We plan to begin treating patients iontophoretically with EGP-437 in our pilot study for the treatment of post cataract surgery inflammation in the fourth quarter of 2015. We continue to believe that our iontophoretic technology has broad potential in treating diseases of the eye, and look forward to further evaluating its application to improve patients’ lives,” said From. Globe Newswire
EYEG Technical Analysis
EYEG gapped up in price yesterday to $3.85, up from the prior day’s close of $3.23, which is a 19% increase on the favorable news. Taking a look at the daily chart, we can see the last time EYEG traded above this price level was on November 5th, when it closed at $4.11. Taking a further look back on the chart we can see that EYEG had a huge spike up in the middle of July. EYEG went from $4.70 on July 9th all the way to $22.75 on July 24th, a 384% increase. After the spike up, EYEG gave back all the gains and tanked all the way to $4.05 on August 13th. As we can see, EYEG can be very volatile. EYEG does have a low float of 2.74 million shares and was trading over 11 times the normal daily trading volume. For trading purposes, my entry point would have been $3.90 looking for a pop through $4.00. My stop loss would have been $3.75, fearing anything below that and the stock would start to fill in the gap up.
Eyegate Pharmaceuticals, Inc., a clinical-stage specialty pharmaceutical company, focuses on developing and commercializing therapeutics and drug delivery systems for treating eye diseases. The company is developing EGP-437 that has completed Phase III clinical trials for the treatment of non-infectious anterior uveitis, a form of intraocular inflammation of the anterior portion of the uvea. It is also developing Eyegate II drug delivery system. Eyegate Pharmaceuticals, Inc. is based in Waltham, Massachusetts. Yahoo Finance