Hutchmed (China) Ltd (HCM), a biopharmaceutical company, saw an increase in the stock price. The NASDAQ-listed stock has closed the day at$41.81, a gain of about $5.36from the last close. Price was swinging heavily from the morning, with stock achieving the highest price of$41.90 and the lowest price of $38.11.
Impact of Recent Events
In late June, Hutchmed’sshare price dipped to $26.44.The company in those days announced that it had been granted approval in China to treat patients suffering from NSCLC with MET exon 14 skipping alterations. That caused a massive surge within share price, and since then, the share price has been enjoying positive times, reaching an outstanding level of $43.36 merely 6 days ago.
Another factor important which pushed the share price is that on the 16th of July, the European Medicine Agency validated Hutchmed’smarketing authorization application for Surufatinib, an inhibitor used for the treatment of pancreatic and non-pancreatic NET’s. The company’s stock is trending also because of the fact that, on 27th July, the Hutchmed, along with Astra Zeneca, initiated a study of Orpathys, and inhibitors, in patients with gastric cancer.
The company has long been seeing a fluctuating trend within its share price. In August 2020, the share price flourished, but as the year started coming to an end, the stock lost its momentum, and the share price dropped to $27.09 in the last week of 2020, but within days of that plunge, the share price rose again and achieved the height of $37. That increase in share price was believed to have occurred due to the fact that Hutchmed began filing for the New Drug Application to US FDA, a move that could have given the company its first New Drug Application in the United States. The stock’s trend continued that way up until mid-February when again, a bullish trend started appearing.
How COVID has impacted Hutchmed’s business?
As the COVID pandemic unrolled, Hutchmed’s business felt immediate shockwaves due to restrictions and regulations imposition by government officials. Hence, it had an impact on the company’s stock as well. The share price went down massively. But as the conditions started becoming more flexible, the company became more and more adaptable, and hence, its impact on share price became ostensible within days.
What future holds in store?
Current trend suggests that Hutchmed’s stock price would expand further. The reason for this is that since its inception, the company’s stock price has been constantly showing a positive trend. Also, it is seen that the share price of health-related firms generally maintains a forward and positive looking trend; hence, potential investors keenly seek to buy trends in them. So, Hutchmed’s stock could be one of the choices if you want your buy the shares.