Neuphoria Stock Jumps On Triggering $15M Milestone Payment From Merck For Alzheimer's Study: Retail Interest Explodes

Shares of Neuphoria Therapeutics Inc. soared more than 11% in premarket trading on Wednesday, propelling the micro-cap biotech stock into the top 10 trending symbols on Stocktwits. 

The company is set to receive a $15 million milestone payment from Merck, triggered by the latter's initiation of a Phase 2 clinical trial to assess the safety and efficacy of MK-1167, an experimental drug for Alzheimer's disease dementia. 

This payment represents the second milestone in the collaboration between Neuphoria and Merck, with Neuphoria potentially eligible for up to $450 million in additional milestone payments, along with royalties on any licensed medicines.

Investors on the platform have expressed enthusiasm, with one user speculating that the stock could reach double digits soon, while another suggested it should ideally trade at more than triple its current levels.

Neuphoria, which has a market cap of just over $7.2 million, saw an 86% jump in following over the past month and a 1,200% increase in message volume on Stocktwits in the last week. 

Earlier in the month, H.C. Wainwright raised its price target on Neuphoria to $21 from $8, maintaining a 'Buy' rating. 

The research firm said its valuation argument was based on the company's progress with its broad-spectrum anti-anxiety therapeutic, BNC210. 

According to Koyfin data, at the end of the September quarter, Neuphoria had approximately $8 million in cash and investments and total debt under $220,000. 

Neuphoria's stock has lost more than 63% in the past 12 months.

For updates and corrections, email newsroom[at]stocktwits[dot]com.

Share

·

Add us on