Reports of results from the December 1-4 meeting of the American Society of Hematology continue to move biotech stocks. Today it was Incyte’s (INCY) turn. The company announced positive results for a Phase 2 trial evaluating Incyte’s Jakafi in combination with corticosteroids in patients with acute graft-versus-host disease who failed to respond adequately to corticosteroids alone. The study met its primary endpoint with patients showing an overall response rate of 55% at day 28 of the trial.
The U.S. Food & Drug Administration approved Jakafi for myelofibrosis is 2011 and for polycythemia vera in 2014. The FDA is currently reviewing the company’s marketing application for Jakafi in graft-versus-host-disease with an action date of February 24, 2019.
Today on the news Incyte shares were up 6.33% to $68.32. The stock now sits just at the verge of reversing a series of lower highs on its chart. Right above today’s close there’s the November 7 high of $69.03. Then comes a $69.94 high from October 3 and a September 5 high of $74.23.
Establishing a new high that broke this downward trend would clear the stock for further advances on positive news on Jakafi.
Shares of Incyte are up 53.39% since I added them to my Jubak Picks Portfolio on April 1, 2014. I should have lowered the target price on Incite long ago (in fact I though I had.) My new target price is $93 a share, down from the once realistic but no longer so $145.