Cerus Corporation ($CERS) Stock | Shares Gap Up On New Agreement With American Red Cross


Cerus Corporation  (NASDAQ: CERS)


Cerus Corporation (CERS), a biomedical products company yesterday announced that they have signed a multi-year purchase agreement with American Red Cross for the use of INTERCEPT platelets and plasma.


Cerus Corporation CEO’s Comments

“This agreement with the Red Cross represents a pivotal step toward making INTERCEPT-treated components available to a majority of patients throughout the U.S.,” commented William “Obi” Greenman, Cerus’ president and chief executive officer. “Working closely with the Red Cross as part of the TRUE study in Puerto Rico has provided both organizations with important operational experience that we will be able to leverage as the INTERCEPT Blood System is broadly deployed at Red Cross sites nationally.”  Business Wire


VP Scientific Affairs  Red Cross Comments 

“The Red Cross is dedicated to blood safety vigilance including pathogen reduction. The INTERCEPT Blood System will serve as an intervention to protect patients against infection from emerging and potentially unknown blood-borne viruses, bacteria and parasites,” said Dr. Susan Stramer, vice president, Scientific Affairs, Red Cross Biomedical Services.  Business Wire


CERS Technical Analysis

CERS Chart

CERS gapped up in price yesterday to $6.30, up from the prior day’s close of $5.69, which is a 11% increase in price. Taking a look at the daily chart we can see that the last time CERS traded above this price level was on January 5th  when it traded at $6.40. Taking a closer look at the daily chart we can see that CERS has been in a trading range in between $5 and $6.50 dating back to November 2nd. With the gap up in price we are trading very close to the top end of that range, and also near the 52 week high price of $6.66. CERS has a float of 75.39 million shares and is trading over 6.5 times the normal daily trading volume. CERS hit pre market highs of $6.42, but gave back $0.12 at the open, or equivalent to 2%. For trading purposes, my entry point would have been $6.50 looking for a pop through the current trading range. My stop loss would have been $6.30, fearing anything below that and the stock would start to fill in the gap up.


Company Profile

Cerus Corporation operates as a biomedical products company focuses on developing and commercializing the INTERCEPT Blood System to enhance blood safety. Its INTERCEPT Blood System is based on its proprietary technology for controlling biological replication and designed to target and inactivate blood-borne pathogens, including viruses, bacteria, and parasites, as well as potentially harmful white blood cells, while preserving the therapeutic properties of platelet, plasma, and red blood cell transfusion products. The company’s INTERCEPT Blood System for platelets is designed to inactivate blood-borne pathogens in platelets donated for transfusion; INTERCEPT Blood System for plasma is designed to inactivate blood-borne pathogens in plasma donated for transfusion; and INTERCEPT Blood System for red blood cells is designed to inactivate blood-borne pathogens in red blood cells donated for transfusion. Cerus Corporation markets its platelet and plasma systems through its direct sales force and distributors. The company has collaboration with Baxter International, Inc. for the development and commercialization of the INTERCEPT Blood System. Cerus Corporation was founded in 1991 and is headquartered in Concord, California.  Yahoo Finance