6 MOST SHORTED* Smid-cap Biopharma Stocks LOVED by Biopharma Hedge Funds**
Here are some Love/Hate tickers that are worth a closer look (FIG. 1) 📸
💘 Lots of top biopharma hedge funds own them
😠 high short interest (% float)
💘 At least 6 of the top 34 biopharma-focused hedge funds hold these tickers**
😠 But the tickers are heavily shorted*
SRRK 45% (shorted)
ELVN 32% (shorted)
MLTX 31% (shorted)
TARS 27% (shorted)
RCKT 27% (shorted)
OLMA 26% (shorted)
FIG. 1. Biopharma stocks that are heavily shorted, but owned by a lot of biopharma-focused hedge funds
Which of these do you think are good investment (i.e., the hedge funds have it right)?
Which of these do you think are bad investments (i.e., the shorts have it right)?
Comment your thoughts to help the community
See below 👇 for more details on the 6 most shorted of these companies!
💡 Become an Elite subscriber today and quickly find answers to these key questions:
How many of the top 34 biopharma-focused hedge funds hold each of these tickers?
How many months of cash do they have?
What are the main differences in the most shorted biopharma companies that are widely held vs. not widely held by top biopharma hedge funds?
And more...
SRRK 45% shorted
Lead asset: Apitegromab
Latest stage: BLA submission
- mAb inhibitor of myostatin activation
- 1st muscle-targeted candidate for spinal muscular atrophy (SMA)
- Reported positive topline data from Ph3 SAPPHIRE Study on 10/7/24
- Expects topline Ph2 data from EMBRAZE for Obesity in Q2 '25
-- Preserve muscle mass for pts on GLP-1s
ELVN 32%
Lead Assets: ELVN-001& ELVN-002
Latest Stage: Phase 1
- ELVN-001, small molecule kinase inhibitor & target the BCR-ABL gene fusion
-- Evaluated in CML; Updated positive Ph1a data presented at ESH-iCMLf conference on 9/28/24.Additonal data in 2025.
- ELVN-002, CNS penetrant & irreversible HER2 inhibitor.
-- Study focuses on NSCLC, BRC & CRC as a single agent and/or in combination with trastuzumab
-- First patient dosed in the Ph1a combination study & data in 2025.
MLTX 31%
Lead asset: Sonelokimab
Latest stage: Phase 3
- Novel ~40 kDa humanized Nanobody® consisting of three VHH domains covalently linked by flexible spacers.
- Developed for inflammatory diseases such as psoriasis, HS & PsA
- Inhibits the IL-17 inflammatory pathway.
- VELA, the first Ph3 program in HS is ongoing with data expected in Mid-2025.
- IZAR, the second Ph3 program in active PsA starts in Q4 '24 & anticipate data in 2026.
TARS 27%
Lead asset: XDEMVY (TP-03)
Latest stage: Approved
- Topical ophthalmic formulation of lotilaner
- Acts specifically via mite GABA-gated chloride channels & eradicate Demodex mites
- FDA Approved for Demodex blepharitis & generated $40.8M net product sales in Q2 '24.
- Currently studied in Ph2a trial for MGD
- Engages w/FDA on advancing TP-03, TP-04 & TP-05.
RCKT 27%
Lead asset: KRESLADI (Marnetegragene autotemcel) /RP-L201
Latest stage: BLA Resubmission
- A gene therapy product containing autologous (patient-derived) HSCs, genetically modified with a LV vector to contain a functional copy of the ITGB2 gene.
- Developed for LAD-I, a rare genetic disorder
- Issued CRL in 6/28/24; Preparing for the anticipated FDA approval
- Completed enrollment in Ph2 of RP-A501 AAV vector-based gene therapy for Danon disease in Sep '24
OLMA 26%
Lead asset: Palazestrant (OP-1250)
Latest stage: Phase 3
- Oral compound that completely antagonize the estrogen receptor (ER) and block the ER-mediated cancer cell.
- Currently in development for ER+/HER2- metastatic breast cancer.
- OPERA-01 Ph3 trial is ongoing & trial in progress presented at ASCO '24. Topline in 2026.
- OP-3136, KAT6 Inhibitor, new preclinical data upcoming at ENA '24 on 10/24/24.
Footnotes:
* Based on percent of float as of 9/30/24, only 6% of all smid-cap companies have a short interest of ≥25%
** Only 11% of all smidcap biopharma are held by 6 or more of these funds
#SRRK #ELVN #MLTX #TARS #RCKT #OLMA #XBI #IBB
This article is not investment, tax, or legal advice. Please do your own diligence and seek advice from professional advisors representing your interests.
Article history:
First published 10/14/24 JD, SK, AV & EJV