Are Capnia Inc (CAPN) and CTI BioPharma Corp (CTIC) Worth The Risk?
New York, NY – GDP INSIDER – 03/24/2015.
This article discusses two companies: Capnia Inc (NASDAQ:CAPN) and CTI BioPharma Corp (NASDAQ:CTIC)
Capnia Inc (NASDAQ:CAPN) continued its volatile trend yesterday with the stock gaining 17.5% or $0.94 to close at $6.31 on very heavy trading of 4.138 million shares, compared to its three month average trading volume of 0.571 million. The medical diagnostics and therapeutics developer has been fluctuating between $5.30 and $9.90 for the last month, since it announced the first commercial sales of if CoSense End-Tidal Carbon Monoxide Monitor, which could help physicians when diagnosing certain patients. Despite the volatility, the stock has gained 323.04% since the beginning of the year, far outstripping the performance of the S&P 500 which has only gained 2.20% for the same period. With RSI of 55.27 the stock can still go either way and if Capnia Inc can produce further positive news about the product, then the stock could go higher still. Even so, given the volatility it is a risky investment but potentially lucrative.
CTI BioPharma Corp (NASDAQ:CTIC) began to bounce back yesterday with the stock closing up 0.26% or $0.01 to close at $1.94 with more than 4.220 million shares changing hands, compared to its three month average trading volume of 3.323 million. The developer and distributor of cancer treatments is still trying to recover from the massive decline in its stock price last week, after it released the test results for its new myelofibrosis drug Pacritinib, which were not well received by experts in the industry. The stock has now lost 17.80% so far this year, most of that decline due to last week’s sell off. With RSI now at 34.71 the stock is starting to look undervalued but without some positive news about the drugs in its development pipeline, it is unlikely that the stock will recover anytime soon. The best option is to sell the stock or hold for the medium to long term.
UltimateStockAlerts.com provides investors and traders with trading strategies via text message and email. To obtain text message stock alerts service text the word ULTIMATE to 555888 from your cell phone.
UltimateStockAlerts continuously monitors and scans the markets for day trading and swing trading signals on NASDAQ, NYSE, AMEX, OTCBB and Pink Sheet companies for its free e-newsletter subscribers.
Disclosure: UltimateStockAlerts is not a registered investment adviser and nothing contained in any materials should be construed as a recommendation to buy or sell securities. Investors should always conduct their own due diligence with any potential investment. Please visit www.UltimateStockAlerts.com website, for complete risks and disclosures.