FDA Secret Revealed For Big Bucks Come June
You don’t usually expect stock market gains to come on a schedule, much less a chance to hand you fat gains in as little as a few days.
But that’s exactly the type of opportunity I’ll cover today.
Thanks to a unique tool provided by the FDA, I can tell you the exact day an opportunity is likely to take off.
And as it turns out there are some great ideas worth considering as we move into June.
But in order to make any money with this tool, you’ll need to understand how it works.
Today I’ll do exactly that and more.
What Can PDUFA Do For You
The U.S. Food and Drug Administration quietly telegraphs the names of drug companies that are going to see stock boosts.
As you may know, every drug must go through a battery of tests before it can be sold to the American public. Once it has passed, the FDA schedules a day to offer its final approval for the drug.
Companies would probably prefer this information be kept secret… but the FDA can’t do that. Thanks to a law called the Prescription Drug User Fee Act (PDUFA), the FDA must keep the public informed about upcoming decisions on new medicines.
So officials regularly issue PDUFA dates — the exact day it plans to announce whether a drug is approved or not.
This helps me create a target calendar — pinpointing companies that will see increased revenues if the drug is approved.
Of course, not every company listed on this calendar will shoot up in value. There’s a lot more to it than that.
But that’s why you rely on me and my research to narrow down the best actionable biotechs from this calendar.
For one thing, FDA approval is not guaranteed. Researchers will pore through the testing data very carefully leading up to the PDUFA date, and it’s not uncommon for them to find anomalies.
And a drug’s approval doesn’t necessarily mean the company’s stock will take off. How much money the drug is expected to bring in is a crucial factor to a drug’s success too.
But that said, the FDA’s PDUFA calendar is a great place to get started when searching for the next hot biotech play.
And as such I want to share a new opportunity shaping up on the horizon that may be worth taking advantage of as we move into June.
June’s Ripe With Profit Chances In Biotech
There’s a number of FDA trial dates set for June.
For us, the most actionable companies are the ones with priority review status and/or Phase 3 trial dates.
Passing the FDA’s Phase 3 trial virtually guarantees a drug will make it to market.
A priority review means the FDA deems a drug important enough to fast track through testing.
Success in either typically equates to a run-up in share value for the respective company.
Meaning big gains are readily available.
And one of the companies we’re watching closely right now is Merck & Co., Inc (NYSE: MRK).
MRK has a number of cancer treatments in its pipeline and we can expect to see a priority review decision in June for its cancer treatment drug Keytruda.
The drug is a humanized antibody used in cancer immunotherapy. It’s an antibody that blocks a protective mechanism in cancer cells, allowing a person’s immune system to destroy those cancer cells.
Cancer drugs are big business and earlier trials note marked improvements using MRK’s new therapy.
And now Keytruda is up for a FDA priority review on June 28.
Currently, MRK is trading roughly $6 below is 365-day high, meaning there’s room for shares to move higher.
And if their June 28 trial goes well, MRK could see a nice boost in share value come early June, possibly even setting new highs this summer.
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Chief Technology Expert, Technology Profits Daily