Hot biotech stock leaders are surging within the IBD 50 elite list, with some passing buy points and others building bases. Among them, Catalyst Pharmaceuticals (CPRX), Harmony Biosciences (HRMY), Genmab (GMAB) and Neurocrine Biosciences (NBIX) all show bullish price patterns.
Catalyst now holds the top spot in the IBD 50 and leads an industry group of more than 800 companies. It mounted a cup-with-handle base in heavy volume on Wednesday, passing a buy point at 16.76, according to MarketSmith.com. Shares dipped 0.5% Friday but are still within their buy range.
This biotech stock was Monday’s IBD Stock Of The Day. It is also an IBD Tech Leader member and an IBD 50 Growth Stock to Watch.
Profits for the Miami-based biotech depend on firdapse, a treatment for Lambert-Eaton myasthenic syndrome, or LEMS. LEMS is a rare autoimmune condition that saps muscle strength, often occurring in lung cancer patients. This promising drug booked $57.2 million in sales in the third quarter, marking more than 59% growth.
Even though sales are growing, Catalyst is looking to acquire a second or third product — either through an outright buyout or licensing deal.
Bullishly, CPRX shares have a best-possible Composite Rating of 99, according to IBD Digital. This puts the biotech stock in the top 1% of all stocks in terms of fundamental and technical measures. Its 12-month performance is also in the top 1% of all stocks, as measured by the Relative Strength Rating.
Harmony Biotech Stock Breaks Past Buy Point
IBD 50 component Harmony Biosciences broke out of a cup-with-handle base on Nov. 1 after posting a 95 cents-per-share profit, easily beating 18-cent FactSet estimates. On Friday, the stock extended past a buy point of 52.62 and stretched above its 50-day line.
Harmony’s claim to fame is pitolisant, which it views “as a portfolio in a product opportunity.”
Pitolisant is approved right now as Wakix, a narcolepsy treatment, but Harmony is investigating its potency in idiopathic hypersomnia, another sleeping disorder. The drug may also be useful in the treatment of…