Chimerix (CMRX) Up on New Virus Fighting Drug
Founded in 2000, Chimerix, Inc. is a biopharmaceutical company engaged in the discovery, development and commercialization of novel, oral antiviral therapeutics designed to transform patient care in areas of unmet medical need.
Shares of Durham, North Carolina, based Chimerix Inc. (CMRX) rose sharply against the backdrop of a strong sell-off across the broader market. Chimerix stock was up 11.79%, rising $3.01 per share, to close at $28.54. The close is very near the stock's 52 week high of $29.97. The stock is up on the news that tests on the company's anti-viral drug, brincidofovir, reveal that it has a potentially favorable resistance profile in the treatment of life-threatening adenoviruses and the herpes virus.
Chimeix stock was up on Tuesday following its announcement that its antiviral drug, brincidofovir, got a positive report card on Monday when the company said tests show it has a "potentially favorable resistance profile" for treating life-threatening adenoviruses as well as herpes viruses.
Adenovirus causes upper respiratory infections, including the common cold, however, it is often fatal in patients with weak immune responses. Adenovirus is most common during the post-transplant period when the immune system is compromised. No therapies are currently approved for the treatment of adenovirus.
The company's stock was also helped when Cantor Fitzgerald analyst Daniel Brims started coverage of Chimerix. He has given it a "buy" rating, and set a target price at $33 per share. Brims has forecast that Chimerix should be able to launch brincidofovir commercially by 2016. But that's not all.
"Beyond brincidofovir, (Chimerix) has an HIV drug, CMX157, which we currently do not include in our valuation, but which is a potential source of royalty revenue," he said in a note to clients, adding that the company has more drugs in the pipeline.
Brincidofovir, Chimerix's lead product candidate, is an oral nucleotide analog that has shown broad-spectrum in vitro antiviral activity against all five families of DNA viruses that affect humans, including viruses in the herpes virus family and adenovirus. Chimerix is working to develop brincidofovir as a medical countermeasure against smallpox. Brincidofovir has received Fast Track designation from the FDA for CMV, adenovirus, and smallpox.
"Drug resistance can be a significant issue in the treatment of viral diseases, particularly in immunocompromised patients," said M. Michelle Berrey, M.D., M.P.H., President and Chief Executive Officer of Chimerix. "We are encouraged by the high barrier to resistance seen in early studies for brincidofovir in adenovirus and we look forward to gathering more data through our Phase 3 AdVise study, which is currently enrolling patients. Additionally, the data for CMV suggest that first-line use of brincidofovir preserves the option for subsequent therapies, clearly a desirable feature in any first-line CMV prevention."
Other News About Chimerix Inc.
Chimerix Adds Management Talent
Chimerix appoints W. Garrett Nichols, M.D., M.S. as Chief Medical Officer.
Chimerix Second Quarter 2014 Financial Results Conference Call.
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