Bloggers and traders alike are scratching their heads, looking for answers as to why Conatus Pharmaceuticals (CNAT) is up more than 48% intraday today.
Short of any company comments and my own hubris, Premium subscribers over at PropThink.com profitably know why: "Intercept Isn't the Only Way to Play Liver Disease."
To wit: [excerpt] "Similarly focused on liver
disease treatments, Conatus
Pharmaceuticals (CNAT) has risen and fallen on parallel developments for Intercept Pharmaceuticals’ (ICPT) obeticholic acid
(OCA). A series of favorable emricasan updates in the next 12 months, including
Phase 2 updates in
patients with nonalcoholic fatty liver disease (NAFLD) or fibrotic nonalcoholic
steatohepatitis (NASH), could
allow investors to better assess the commercial opportunities of CNAT’s lead
compound – and finally free the stock price from Intercept’s shadow."
Editor
David J Phillips does not hold a financial interest in any stocks mentioned in
this article. The 10Q Detective has a Full Disclosure Policy.