Shares of Summit Therapeutics (SMMT) have soared 689% year to date, significantly outperforming the industry’s 2.5% decline. The stock has outperformed the sector and the S&P 500 during the same period. SMMT’s shares are also trading above the 50-day and 200-day moving averages.SMMT Stock Outperforms Industry, Sector & S&P 500 Image Source: Zacks Investment ResearchThis uptick in stock price started in May after the company reported that its lead pipeline drug ivonescimab outdid Merck’s (MRK) blockbuster on ...

Millennium Management just initiated a position in a small biotech company developing a new cancer drug.Israel Englander is a billionaire hedge fund manager and serves as the CEO of Millennium Management. During the second quarter, Millennium initiated a new position that I found to be quite curious. Below, I'm going to share one of the fund's new positions and explore the benefits and risks of investing in this particular up-and-coming biotech stock.Millennium Management's curious moveAccording to Millenni ...

The shares have experienced a pullback in the past couple of weeks. No stock has unlimited upside potential. When a company's shares rise significantly during a short period, it makes sense to wonder whether it's still worth investing in, even if it boasts solid fundamentals: Overvalued stocks are much less likely to generate strong returns. That brings us to Summit Therapeutics (SMMT 1.50%), a drugmaker whose shares have skyrocketed by almost 700% since the year started (although that's down from a gain of ...

Viking Therapeutics - Viking is developing VK2735, a therapy for obesity, with phase 3 trials for the injectable formulation and phase 2 trials for the oral formulation soon to begin [3] - The anti-obesity medicine market is projected to reach $105 billion annually by 2030, with Viking aiming to capture a share of this growing market [5] - Viking has $942 million in cash, equivalents, and short-term investments as of Q2, with operating expenses of just over $34 million, ensuring sufficient funding for late-stage trials [6] - If VK2735 is approved, Viking could see significant returns, especially if it captures even 10% of the anti-obesity market [12] Summit Therapeutics - Summit is focused on commercializing ivonescimab, a biologic drug for non-small cell lung cancer (NSCLC), licensed from Akesobio [7] - The NSCLC drug market is expected to grow to $26 billion annually by 2032, up from $11.5 billion currently, with Summit aiming to carve out a niche with ivonescimab [9] - Summit has $326 million in cash, equivalents, and short-term investments as of Q2, and recently raised $235 million, providing ample capital to bring its advanced programs to market [10] - Summit's first two programs could hit the market within the next 3-4 years, with one receiving FDA Fast Track designation [10] Market Comparison - Viking is targeting the larger anti-obesity market ($105 billion by 2030), while Summit is focused on the smaller NSCLC market ($26 billion by 2032) [5][9] - Viking's internal R&D allows for further development of its candidates, while Summit relies on Akesobio's pipeline for future opportunities [12][13] - Viking is seen as a more appealing investment due to the larger market potential, despite being riskier without a collaborator like Akesobio [11][12]

It's easier to invest confidently when you know both the pros and the cons in full. Summit Therapeutics (SMMT 7.20%) is an exciting stock for many investors as its shares are up by 158% in the last three months alone. But, as wise investors know, recent price action is in no way a substitute for doing due diligence. And, given that this company doesn't yet have any revenue, the need to do some research and cover your bases is especially important. So with the spirit of delving a bit deeper in mind, let's lo ...

The investment bank analysts who follow these stocks think they can soar even further, with some caveats. Shares of Viking Therapeutics (VKTX 1.33%) and Summit Therapeutics (SMMT 2.58%) are crushing the market this year. Prices for both stocks have more than tripled in 2024 thanks to positive news flow for Viking's oral weight loss candidate and surprising results for Summit's cancer therapy hopeful. What goes up often comes down, but the investment bankers who follow these stocks expect further gains. Oppe ...

This company's promising cancer drug could challenge Merck's $25 billion crown jewel. The pharmaceutical industry is often about hitting home runs. Big pharmaceutical companies start small, and then a blockbuster product catapults them into the spotlight. Summit Therapeutics (SMMT 2.58%) has soared 1,000% over the past year on progress in developing a drug that could rival Merck's Keytruda, a product used to treat various cancers with over $25 billion in sales last year. Those who got in early have gotten r ...

Recent developments are forcing comparisons between these two drugmakers. Many pharmaceutical and biotech companies have one or a few main areas of expertise in which they develop and market their most important medicines. For Merck (MRK -1.70%), one of the most prominent companies in the business, that area is oncology. Merck is best known for its cancer drug Keytruda, which has been the best-selling medicine in the world since last year. It has several other cancer drugs in its portfolio although their sa ...

There's a lot riding on how its collaborator's studies end up performing. Believe it or not, it's entirely possible to build out a successful biopharma without actually doing much (or any) work in the laboratory. And, at least for now, that's exactly what Summit Therapeutics (SMMT -2.79%) is angling to do. Thanks to its collaboration with a highly capable company abroad, this biotech may soon demonstrate the powerful financial performance that's possible using an asset-light business model. With that frame ...

Summit Therapeutics stock is up a remarkable 700% this year. When a stock gets red hot, its share price can sometimes soar to unsustainable levels as euphoria ends up taking over. One of the hottest stocks to own this year has undoubtedly been Summit Therapeutics (SMMT -8.22%), and it could very well fall into that category. Even though the promising biotech doesn't have an approved product in its portfolio and is generating no revenue, the excitement around one of its oncology treatments has investors incr ...