4 Top Biotech Stocks on the TSX of Q2 2018

Finishing up on Q2 2018, biotech companies on the TSX are showing promising news and pipeline updates, often resulting in share price movement.

A 2018 market report from Deloitte on the entire life science sector indicated a projection of US$8.7 trillion by the year 2020. Investors should monitor last year’s approved products to see if the products meet its expected sales expectations, such as Agios (NASDAQ:AGIO) and Celgenes’ (NASDAQ:CELG) Idhifa for acute myeloid leukemia.

At the halfway mark of the year, the Investing News Network (INN) updates our profiles on the top four biotech stocks on the Toronto Stock Exchange year-to-date.

The companies listed below have market caps of less than $500 million and over $50 million. All figures and numbers are current as of market close on July 3, 2018, with data compiled from The Globe and Mail. All figures are quoted in Canadian dollars, unless otherwise noted.

1. ProMIS Neurosciences (TSX:PMN)

Market cap: $98.28 million; year-to-date percentage gain: 90 percent; current share price: $0.40

First on our top biotech stocks on the TSX year-to-date is ProMIS, a development stage biotech working on the treatment of neurodegenerative diseases like Alzheimer’s disease and ALS. The company uses its proprietary discovery technology, then specific antibodies are evaluated in a 3-step process which allows ProMIS to identify the best products to move into clinical development.

Early in June, the company announced manufacturing of PMN310 has begun, which is the company’s lead therapeutic antibody for treatment of Alzheimer’s disease. Selexis is manufacturing the first step through its SUREtechnology Platform.

Closer to the beginning of the quarter ProMIS reported its Q1 financial results with an increase in net loss, research and development expenses and general and administrative expenses.

2. Aptose Biosciences (TSX:APS)

Market cap: $171.07 million; year-to-date percentage gain: 86.33 percent; current share price: $5.12

Second on our top biotech stock on the TSX year-to-date list for the second time is Aptose. This clinical-stage biotechnology company focused on developing personalized medicines for unmet needs in oncology. In the company’s pipeline, Aptose Biosciences is hoping to develop oncology therapies without overlapping toxicities such as negative side effects.

This quarter has proved to be robust with news for Aptose, the company shared big news of its clinical hold being lifted by the FDA after three years. The hold was for the Phase 1B trial for APTO-253, with hematologic cancer patients.

Then, in early May, Aptose entered into a license agreement with CrystalGenomics (KOSDAQ:083790) to acquire CG-806 rights in China. This adds China as a territory to its global rights, giving the company nearly worldwide rights (excluding Korea) to develop and commercialize the drug candidate, which is in development for acute myeloid leukemia (AML), B-cell malignancies and other hematologic malignancies.

3. Resverlogix (TSX:RVX)

Market cap: $416.26 million; year-to-date percentage gain: 22.22 percent; current share price: $2.36

Developing apabetalone (RVX-208), which is a small molecule selective BET inhibitor—a mechanism that regulates disease-causing genes—Resverlogix is working through clinical trials to prove it may help patients with range of diseases, including: cardiovascular disease, diabetes mellitus, chronic kidney disease and more.

In June, the company announced the FDA confirmed, if successful, its BETonMACE Phase 3 trial would support the approval of a new drug application. The specific indication is yet to be sought by the company and reviewed by the regulatory agency.

Earlier in the same month, Resverlogix released it’s seeking a partnership with an existing stakeholder based on recent findings with apabetalone’s potential role in HIV.

4. Oncolytics Biotech (TSX:ONC)

Market cap: $118.12 million; year-to-date percentage gain: 4.52 percent; current share price: $7.15

Last on the top biotech stocks on the TSX year-to-date is Oncolytics Biotech. The company is working on developing Reolysin, also known as pelareorep, an IV administered immuno-oncolytic virus, as its name suggests. The company is working on planning its first registration study in metastatic breast cancer, among other trials.

In early June, Oncolytics began listing on the NASDAQ global markets and priced a new public offering at US$9 million. The company intends to use the net proceeds of the offering for research and development activities and working capital.

Other big news during the second quarter includes Oncolytics announcing a partnership between Merck (NYSE:MRK) and Northwestern University combining Keytruda and Reolysin, in a Phase 2 second line pancreatic cancer study. This study is an extension of the previously reported Phase 1 study (REO 024) that will investigate pelareorep in combination with Keytruda.

Don’t forget to follow us @INN_LifeScience for real-time news updates!

Securities Disclosure: I, Gabrielle Lakusta, hold no direct investment interest in any company mentioned in this article.

***This article is updated quarterly. Scroll to the top for the most recent information.***

4 Top Biotech Stocks on the TSX Year-to-Date

By Gabrielle Lakusta, April 3, 2018

With close to half of the total US Food and Drug Administration (FDA) approved products in 2017 from biotech companies—20 more than 2016—this year may hold more approvals than ever before.

A 2018 market report from Deloitte on the entire life science sector indicated a projection of $8.7 trillion by the year 2020. Investors should monitor last year’s approved products to see if the products meet its expected sales expectations, such as Agios (NASDAQ:AGIO) and Celgenes’ (NASDAQ:CELG) Idhifa for acute myeloid leukemia.

With that in mind, the Investing News Network (INN) updates our profiles on the top five biotech stocks on the Toronto Stock Exchange year-to-date.

The companies listed below have market caps of less than $500 million and over $50 million. All figures and numbers are current as of market closing time on April 3, 2018, with data compiled from The Globe and Mail.

1. ProMIS Neurosciences (TSX:PMN)

Market cap: $102.85 million; year-to-date percentage gain: 122.50 percent; current share price: $0.44

First on our top biotech stocks on the TSX year-to-date is ProMIS, a development stage biotech working on the treatment of neurodegenerative diseases like Alzheimer’s disease and ALS. The company uses its proprietary discovery technology, then specific antibodies are evaluated in a 3-step process which allows ProMIS to identify the best products to move into clinical development.

In late January, the company shared news on its lead product candidate, PMN310 for Alzheimer’s disease, but otherwise hasn’t had much regulatory news since then.

2. Aptose Biosciences (TSX:APS)

Market cap: $115.74 million; year-to-date percentage gain: 42.09 percent; current share price: $3.95

Aptose is a clinical-stage biopharmaceutical company focused on developing personalized medicines for unmet needs in oncology. In the company’s pipeline hoping to develop oncology therapies without overlapping toxicities—negative side effects.

The company announced a license agreement for an oncology program in early March with a private company, OHM Oncology. “We are pleased to formalize a new phase of our partnership with OHM Oncology, which originated in late 2015 from the work performed by its R&D partner LAXAI Life Sciences (LAXAI) on a discovery stage program,” William G. Rice, president and CEO of Aptose said in the release.

Aptose also reduced its research and development, general administrative and operating costs, as reported in its 2017 financial report.

3. Aralez Pharmaceuticals (TSX:ARZ)

Market cap: $125.24 million; year-to-date percentage gain: 4.47 percent; current share price: $1.87

The pharmaceutical company Aralez is developing products in the cardiovascular sector, among other specialty areas. Although the company hasn’t had much news so far this year, it did release profitable 2017 financial results in March, highlighting net revenues increased from $54.3 million in 2016 to $105.9 million in 2017—almost doubling.

“We believe 2018 has the potential to be an important year for Aralez as we transition into a company that generates significant Adjusted EBITDA,” Adrian Adams, CEO of Aralez said in the press release. “As we continue to execute on our business objectives, we will also evaluate strategic business opportunities throughout the year, including to potentially refinance our debt, to drive value for Aralez and our shareholders.”

The amount of money that pushed Aralez’s revenue was $67.2 million, comprised of net revenue from the distribution and supply agreement with Lannett for Toprol-XL A sales.

4. Resverlogix (TSX:RVX)

Market cap: $305.89 million; year-to-date percentage gain: 4.44 percent; current share price: $1.73

Developing apabetalone (RVX-208), which is a small molecule selective BET inhibitor—a mechanism that regulates disease-causing genes—Resverlogix is working through clinical trials to prove it may help patients with range of diseases, including: cardiovascular disease, diabetes mellitus, chronic kidney disease and more.

Early in 2018 the company began a licensing agreement with Medison Pharma to further develop the promising drug apabetalone in Israel. Resverlogix estimates the profits of royalty payments could reach $100 million over the patent life in the region through Medison.

Then in March, Resverlogix also completed enrollment for it’s Phase 3 BETonMACE trial  with apabetalone for the cardiovascular disease indication. CEO Donald McCaffrey said he anticipates presenting the primary endpoints by the end of 2018.

Don’t forget to follow us @INN_LifeScience for real-time news updates!

Securities Disclosure: I, Gabrielle Lakusta, hold no direct investment interest in any company mentioned in this article.