Investors chased Ocular Therapeutix Inc (NASDAQ:OCUL) higher after the eye disease focused biopharmaceutical company said it had obtained positive top line results from a phase 3 clinical trial of its DEXTENZA eye treatment.
Shares popped a solid 12.29% on Wednesday to close at $8.86 with 2.65 million traded.
In yesterday’s higher volume trading Ocular closed a gap between the $8.25 and $9.10 levels which had remained open since May 2016.
The stock also crossed above its 200-day moving average, signaling a return to long term positive momentum.
Ocular Therapeutix Inc (NASDAQ:OCUL) and DEXTENZA
Investors were enthused after Ocular announced positive topline results from its phase 3 clinical trial of DEXTENZA™ (dexamethasone insert) 0.4 mg, for the treatment of post-surgical ocular inflammation and pain.
“The successful results of this trial represent an important milestone for the Company, and we believe these results not only further validate the ability of DEXTENZA to provide a full post-operative course of therapy with a one-time administration, but also validate the broader utility of our multi-faceted hydrogel drug delivery technology platform,” said Amar Sawhney, Ph.D., President, Chief Executive Officer and Chairman.
Investors would recall that in early June Ocular crashed following the announcement that a second Phase 3 trial of its pink eye treatment, Dextenza, didn’t achieve its single primary endpoint.
In July, the company received a Complete Response Letter from the Food and Drug Administration (FDA) for its New Drug Application (NDA) for DEXTENZA 0.4 mg, for intracanalicular use in the treatment of ocular pain occurring after ophthalmic surgery. The FDA expressed its reservations on certain deficiencies in the drug’s manufacturing facility.
However, the company announced yesterday that it intends to resubmit its NDA for DEXTENZA for the post-surgical ocular pain indication by the end of the year.
“This is an exciting time for Ocular Therapeutix, as we advance our lead drug delivery product candidate toward potential commercialization,” said Sawhney.
Ocular Therapeutix Inc (NASDAQ:OCUL) upgraded
Analysts at RBC Capital Markets on November 15 reiterated their Outperform rating on Ocular and boosted their price target from $30 to $32.