Regeneron Pharmaceuticals Shares Jumped: What You Need to Know

Before you go, we thought you'd like these...
Before you go close icon

Although we don't believe in timing the market or panicking over market movements, we do like to keep an eye on big changes -- just in case they're material to our investing thesis.

What: Shares of drugmaker Regeneron Pharmaceuticals (NAS: REGN) popped 10% in intraday trading Friday after The New York Times reported that Roche's age-related macular degeneration treatment Avastin led to vision loss in several California patients.

So what: Given Regeneron's big jump, it's obvious that Mr. Market believes the news increases the likelihood that its own ophthalmic solution, Eylea, will eventually be approved by the FDA. Of course, biotech Fools know to judge a drug's potential on its own merits, so today's rally in Regeneron should be taken with a grain of salt.  

Now what: Even without the Times story, Regeneron's Eylea was clearly the better bet. According to analysts, efficacy data so far shows that Eylea works much faster than Avastin and only needs to be taken every-other-month (versus monthly for Avastin). Of course, Regeneron is up about 150% over the past year, so investors still need to tread cautiously. 

Interested in more info on Regeneron?Add it to your watchlist.

At the time this article was published Fool contributorBrian Pacamparaowns no position in any of the companies mentioned. Try any of our Foolish newsletter servicesfree for 30 days. We Fools may not all hold the same opinions, but we all believe thatconsidering a diverse range of insightsmakes us better investors. The Fool'sdisclosure policyalways gets a perfect score.

Copyright © 1995 - 2011 The Motley Fool, LLC. All rights reserved. The Motley Fool has a disclosure policy.

Read Full Story

Want more news like this?

Sign up for Finance Report by AOL and get everything from business news to personal finance tips delivered directly to your inbox daily!

Subscribe to our other newsletters

Emails may offer personalized content or ads. Learn more. You may unsubscribe any time.

From Our Partners