Cell Therapeutics Inc. Soars Again
Shares of Cell Therapeutics had a monster of a day on the market today, up 20% at their height before settling back down to a 12% gain for the day. In this video, Motley Fool health-care analyst David Williamson looks at some positive news out of Europe that has been driving up shares today about the company's non-Hodgkin lymphoma drug, Pixuvri. David also looks at more good news for the company, after the FDA released a partial clinical hold on Cell Therapeutics' leukemia drug Tosedostat, which is in phase 2 trials.
However, David warns that despite some recent good news for the company and the stock's incredible run recently, there are serious pitfalls for investors to consider here. He notes that despite the company's seemingly robust pipeline on the surface, some of its pipeline drugs, such as Pacritinib, have a checkered past. As well, he warns that the company has a track record of diluting shareholder equity, and with shares having doubled in price over the last year, another capital raise may not be far over the horizon.
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The article Cell Therapeutics Inc. Soars Again originally appeared on Fool.com.
David Williamson has no position in any stocks mentioned. Follow David on Twitter: @MotleyDavid.The Motley Fool has no position in any of the stocks mentioned. 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.
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