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  • Geron Corporation (GERN) Surges 80% Following Favorable FDA Ruling

    Geron Corporation (NASDAQ: GERN) experienced a remarkable surge in premarket trading, with its stock skyrocketing by an impressive 80%. This surge comes on the heels of a static, zero-movement day on Thursday, indicating a sudden and significant shift in investor sentiment.

    The heightened interest in Geron can be attributed to a favorable ruling from the Food and Drug Administration (FDA), marking a pivotal moment for the biotech company.

    FDA Advisory Committee Vote

    Geron recently faced scrutiny over its blood cancer drug candidate, imetelstat, amid questions regarding its benefit-risk profile. However, the company emerged victorious as the FDA advisory committee voted 12 to 2 in favor of the drug. This decisive outcome triggered a surge in Geron’s share price, reflecting investor optimism about the potential of imetelstat.

    Additionally, there is a prevailing belief in the market that Geron is undervalued, with Goldman Sachs previously setting a price target of $6 for the stock. The significant short float of 10% further underscores the disappointment among short sellers following the recent update.

    Expert Opinions and Market Outlook

    Dr. Neil Vasan of Columbia University Medical Center expressed confidence in imetelstat, emphasizing its significance for patients with limited treatment options. While acknowledging the concerns raised by some experts, including Dr. Ravi Madan of the National Cancer Institute and Dr. Christopher Lieu of the University of Colorado, Dr. Vasan highlighted the benefits of achieving transfusion independence for certain patients.

    Despite differing opinions among experts, the overall sentiment surrounding Geron’s prospects remains positive. Investors are anticipating regulatory authorization from the FDA, with a decision expected by June 16. This optimism is reflected in the surge of Geron’s stock in premarket trading, pushing its value above $3.20.

    Conclusion

    Geron Corporation’s surge in premarket trading underscores the significance of the FDA’s favorable ruling on its blood cancer drug candidate, imetelstat.

    Despite concerns raised by some experts, the majority vote in favor of the drug signals a potential breakthrough for Geron. With regulatory authorization pending, investors are optimistic about the company’s future prospects, driving its stock price higher in premarket trading.

  • Proposed Public Offering: Geron Corp. (GERN) stock on a Downward Spiral After Hours

    Proposed Public Offering: Geron Corp. (GERN) stock on a Downward Spiral After Hours

    On March 29, Geron Corp. (GERN) announced a proposed public offering of its common stock and warrants. The news resulted in the stock entering a downward spiral in the after hours.

    Source: Genetic Engineering News

    During the regular trading session, the stock traded in the green as it accumulated a value of 5.79%. After moving in a range of $1.21 to $1.28, the stock closed the session at a price of $1.28 per share. Intraday trading the stock witnessed an active volume of 3.28 million shares which was 165% of the average. Following the announcement, GERN went down to $1.05 in the after hours. Thus, the stock declined by 17.97% in the after-hours session while 1.67 million shares were exchanged.

    The biotechnology company, Geron Corp. has a market capitalization of $391.72 million. Currently, the company has 323.73 million shares outstanding in the market.

    GERN’s Proposed Public Offering

    On Tuesday, the company announced its intention for offering its common stock shares and pre-funded warrants in an underwritten public offering. The offering might also include pre-funded warrants to purchase common stock shares, for certain investors. Subject to market conditions, the actual size, terms, and other details of the offering were not shared.

    The lead manager for the offering is Needham & Company while the joint book-running managers are Stifel, Nicolaus & Company, and W. Baird & Co.

    Inducement Grants

    On March 17, GERN announced granting non-statutory stock options for buying 320,000 of its common stock shares as an inducement to newly hired employees. Granted on March 16, the stock options had an exercise price of $1.03 per share (closing price of GERN stock on the day. Moreover, the stock options were granted as inducement material to the employees in accordance with Nasdaq Listing Rules as well as the company’s 2018 Inducement Award Plan.

    GERN’s 2021 Financials

    On March 10, the company declared its financial results for the fourth quarter and the fiscal year ended on December 31, 2021. Along with this, GERN also provided guidance for fiscal 2022.

    Q4 2021

    In Q4 2021, the company had revenues of $1.0 million with a net loss of $32.0 million or $0.10 per share. Comparatively, the company had a net loss of $23.8 million or $0.07 per share on revenue of $50,000 in Q4 2020.

    Furthermore, the total operating expenses were $32.0 million in the quarter against $23.3 million in Q4 2020.

    Fiscal 2022

    For fiscal 2022 GERN expects non-GAAP operating expenses of $140-$150 million while growing its employees to 90-100 from 72 in 2021.

  • Here is why Geron Corporation (GERN) stock pop-up in the after-market on Thursday?

    Here is why Geron Corporation (GERN) stock pop-up in the after-market on Thursday?

    Geron Corporation (GERN) shares surged 19.86% in after-hours on Thursday, June 17, 2021, and close the day at $1.69 per share. Earlier in the morning session, GERN’s stock price remained unchanged. GERN shares have fallen 19.43% over the last 12 months, and they have moved down 5.37% in the past week. Over the past three months, the stock has lost 19.43%, while over the past six months, it has shed 16.07%.

    Publication of IMbark Phase 2 Data

    On June 17, 2021, Geron Corporation published the data from the IMbark Phase 2 clinical trial in the Journal of Clinical Oncology in a paper entitled, “Randomized, Single-Blind, Multicenter Phase II Study of Two Doses of Imetelstat in Relapsed or Refractory Myelofibrosis.” The publication highlights the clinical benefits observed in the study, including symptom response and overall survival, as well as the evidence of disease-modifying activity from biomarker and bone marrow fibrosis assessments.

    Participation in Hematology Association Annual Congress

    Geron Corporation did two poster presentations of new clinical data and analyses related to imetelstat, the Company’s first-in-class telomerase inhibitor, which is now available on Geron’s website as well as to participants of the EHA2021 Virtual Congress.

    The first presentation is Efficacy of Imetelstat is Independent of Molecular Subtypes in Heavily Transfused Non-Del(5q) Lower Risk MDS (LR-MDS) Relapsed/Refractory (R/R) to Erythropoiesis Stimulating Agents (ESA)
    Poster Code: EP910.

    The 2nd one is, Imetelstat Demonstrates an Acceptable Safety Profile in Myeloid Malignancies
    Poster Code: EP1106

    Recent financial results announcement

    On May 10, 2021, Geron Corporation announced its financial results for the first quarter ended March 31, 2021.

    Q1 2021 financial results

    • Geron Corporation earned a revenue of $137,000 for Q1 2021 compared to $52,000 for the same period in 2020.
    • The company suffered a net loss of $27.8 million, or $0.09 per share in Q1 2021 compared with $16.4 million, or $0.08 per share, for Q1 2020.
    • Total operating expenses were $28.6 million for the first quarter of 2021 compared to $16.9 million for the same period in 2020.
    • Research and development expenses for the first quarter of 2021 were $21.1 million compared to $10.8 million in Q1 2020.
    • Interest income was $173,000 for the first quarter of 2021 compared to $754,000 for Q1 2020.
    • Net other income was $1.2 million for the first quarter of 2021 compared to net other expense of $44,000 for the first quarter of 2020.

    Inducement Grants

    On April 23, 2021, Geron Corporation granted non-statutory stock options to purchase an aggregate of 220,000 shares of Geron common stock at an exercise price of $1.48 per share as inducements to newly hired employees in connection with the commencement of employment with the Company.

    Conclusion

    The GERN stock surged in the after-hours after the company announced the publication of IMbark Phase 2 Data and GERN can continue its rally on the last day of the week.