(Bloomberg) Optimism of Alzheimer drug has fueled a 925% surge in drugmaker Cassava Sciences Inc. this year. The company is yet to debut a product in the market after 20 years.
Retail trading frenzy was behind Cassava’s rise even as its Alzheimer’s drug is said to be in its early-stage trials.
Cassava’s rise means it only trails GameStop Corp. and AMC Entertainment Holdings Inc. as the biggest gainers in 2021
Cassava was also boosted by rival Biogen Inc., which got approval from FDA for its Alzheimer’s treatment, with other small biotech firms trading higher.
JonesTradng Soumit Roy has set a price target of $100 on Cassava stock, expecting the company to generate sales of about $200 billion in 15 years.
Cassava still has a long way to go in obtaining regulatory approval as it needs to conduct a large placebo study for its drug.
SAVA: NASDAQ is up 0.33%
