Is Peregrine's November Surge a Dead Cat Bounce?
Dec 5th 2012 6:20PM
Updated Dec 5th 2012 6:28PM
Peregrine (NAS: PPHM) saw shares jump up a very healthy 81% in November, but the stock is still down 75% from its 52-week high back in September, so it still has a long way to go to make up that ground. The stock crashed from its September rates after the bursting of incredible optimism around its non-small-cell lung cancer drug Bavituximab's phase 2 trial results, when the company revealed that the data from those results was handled improperly and thus inaccurate. However, this isn't to say that the drug doesn't work; Peregrine still has Bavituximab in trials for multiple types of cancer. This rebound in the stock may be showing that investors are now comfortable coming back to Peregrine at its lower valuation, for the promise it may still have.
See more in the following video.
While you can certainly make huge gains in biotech and pharmaceuticals, the best investing approach is to choose great companies and stick with them for the long term. In our free report "3 Stocks That Will Help You Retire Rich," we name stocks that could help you build long-term wealth and retire well, along with some winning wealth-building strategies that every investor should be aware of. Click here now to keep reading.
The article Is Peregrine's November Surge a Dead Cat Bounce? originally appeared on Fool.com.David Williamson, Max Macaluso, and The Motley Fool has no positions in the stocks mentioned above. Try any of our Foolish newsletter services free for 30 days. We Fools don't all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.
Copyright © 1995 - 2012 The Motley Fool, LLC. All rights reserved. The Motley Fool has a disclosure policy.