Biomira stock jumps on analyst's report
February 2, 1999 03:57 PM
TORONTO, Feb 2 (Reuters) - The shares of Edmonton-based biotechnology company Biomira Inc. CA:BRA BIOMF jumped on Tuesday after a brokerage firm upgraded its recommendation.
At noon, the shares of Biomira were up C$1.15, or 18.6 percent, to C$7.35, on volume of 977,000 shares. On the U.S.-based Nasdaq, the shares were up $5/8 to $4.25, on volume of 3.5 million shares.
The sudden interest in the stock came after Merrill Lynch & Co. analyst Andre Uddin released a report yesterday upgrading Biomira's shares to intermediate-term buy and long-term accumulate.
The Toronto-based analyst noted milestones in the development of its cancer treatments for the upgrade.
"The company's lead cancer vaccine, Theratope for treating breast cancer, is in Phase 3 testing with partner Chiron. While we continue to believe that development of this vaccine is high-risk, the market size is large -- it could potentially generate several hundred million dollars in sales," Uddin wrote in the report.
He noted that "Biomira has a cancer vaccine pipeline that is advancing," with Phase 1 testing completed for its cancer vaccine BLP-25 with results expected this quarter, and a second-generation vaccine for treating a type of lymphoma, expected to enter Phase 1 trials this year quarter as well.
Uddin revised his 12-month target on the stock to C$10. The shares currently trade in a 52-week range of C$1.85 to C$11.
Biomira spokesman Bill Wickson attributed the favorable stock action to the analyst's report, saying the company had nothing new to report. |
