Rosacea sufferers out there know what a terrible condition it can be. But for healthcare company Journey Medical (NASDAQ:DERM), it’s a condition that may be a little closer to a cure. Investors stopped applauding long enough to buy in, helping Journey to close up just over 20% in Tuesday’s trading session.
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The big winner for Journey was DFD-29, a product developed along with Dr. Reddy’s Laboratories (NYSE:RDY) to treat inflammatory skin disease. DFD-29 saw testing with 60 healthy adults and not only succeeded on every level, but it also generated no major safety issues in the process. The treatment was administered once a day, and the end result was that both bacterial resistance and opportunistic organisms intervening were essentially nil.
With that overwhelming success in hand, Phase 3 trial results should be coming out by the end of the month. Further, a New Drug Application should be ready to go by the end of the year. It may not be as groundbreaking as a cure for cancer might be, but it will certainly find a market among rosacea sufferers out there. Thankfully, Journey has several other products available as well, which should help keep it going while it gets DFD-29 to market over the next few months.
A look at the past five trading days for DERM stock highlights the level of impact today’s news had on it. Indeed, shares jumped over 22%. As a result, investors are now up 17.82% during this timeframe.