Too often, traders tend to pigeonhole certain stocks. For example, some folks might think of Inovio Pharmaceuticals (NASDAQ:INO) as a Covid-19 vaccine company and INO stock as nothing more than a novel coronavirus stock.
Don’t get me wrong. Inovio absolutely is part of the nationwide and global battle against the coronavirus. But there’s no need to pigeonhole INO as just a coronavirus stock.
The company works diligently to develop DNA medicines to treat a range of infectious diseases and cancers. There’s positive news about Inovio’s development of its Covid-19 vaccine candidate, INO-4800, but there’s also good news in other departments.
Therefore, it’s worth investigating both Inovio’s Covid-19 vaccine efforts as well as the company’s progress in other areas. That way, you can get a complete picture of this fascinating biotech company with breakout potential.
INO Stock at a Glance
If the market is telling us anything about INO stock, it’s that the shares are underappreciated and undervalued. You might even say that INO is one of the biotech sector’s most compelling bargains at the moment.
INO stock achieved its 52-week high of $31.71 on June 29, but somehow the market decided that this wasn’t the right price for the stock. As a result, a gradual sell-off commenced.
At the close of Nov. 24, INO stock settled slightly above $10 per share. Sometimes people say that they like to buy low and sell high. When the time comes to buy a stake in a promising company at a low price, however, those same traders tend to chicken out.
If you hesitate, you might miss out on a rare opportunity with INO stock. Even if you’re only thinking relatively short-term (i.e., as a swing trader), there’s potential here. INO has a tendency to spike quickly from time to time, just like it did in mid-September. This could easily happen again if there’s good news.
Not Just Covid-19
I’m going to take a different approach from many commentators and veer away from the topic of Covid-19 vaccine candidates. Let’s not discount the significance of the other conditions that Inovio is working to address.
One example is INO-3107, Inovio’s DNA medicine candidate designed to treat Recurrent Respiratory Papillomatosis (RRP). Inovio just dosed its first subject with INO-3107 in a Phase 1/2 clinical trial for this condition.
RRP is a very unfortunate and rare ailment. Caused by certain types of human papillomavirus (HPV), RRP is incurable and causes non-cancerous tumor growths that lead to life-threatening airway obstructions.
Usually, surgery is used to treat RRP. Furthermore, sometimes patients need multiple surgeries, which can severely impact their quality of life. The U.S. Food and Drug Administration (FDA) already granted INO-3107 Orphan Drug Designation, so it’s great to hear that there’s progress in developing this less invasive treatment.
Advancing Other DNA Medicines
For Inovio, INO-3107 isn’t the only DNA-based medicine that’s showing progress. It’s well documented that the FDA cleared the Covid-19 vaccine candidate, INO-4800, to proceed with Phase 2 clinical trials.
Yet, let’s also acknowledge the progress in other areas. Encouragingly, Inovio recently announced that its DNA medicines INO-5401 and INO-9012, in combination with PD-1 Inhibitor Libtayo (cemiplimab), are under review in the treatment of newly diagnosed glioblastoma multiforme.
This condition is a type of cancer that starts in the brain. Under certain conditions, the described combination of INO-5401 and INO-9012 appears to demonstrate a well-tolerated safety profile.
Dr. David Reardon, Clinical Director of the Center for Neuro-Oncology at the Dana-Farber Cancer Institute, clearly sees the potential of Inovio’s work in this area:
“We look forward to continuing to review these data, with an eye towards those patients who are most likely to benefit from this innovative approach and to see whether, over time, there is an extension of survival in these very hard-to-treat patients.”
Yes, it is possible to take a bullish stance on INO stock because of INO-4800. Inovio’s Covid-19 vaccine candidate does hold great promise.
However, there’s more to Inovio than INO-4800. Just as Inovio isn’t just a horse in the vaccine horse race, INO stock isn’t just a coronavirus stock. That’s why I’ve given it an “A” rating in my Portfolio Grader.
On the date of publication, neither Louis Navellier nor the InvestorPlace Research Staff member primarily responsible for this article held (either directly or indirectly) any positions in the securities mentioned in this article.
Louis Navellier had an unconventional start, as a grad student who accidentally built a market-beating stock system — with returns rivaling even Warren Buffett. In his latest feat, Louis discovered the “Master Key” to profiting from the biggest tech revolution of this (or any) generation.