It was a huge day for biotech stock Inventiva (NASDAQ:IVA) as it successfully navigated a Phase 2 trial for a new liver disease treatment. How huge? Inventiva was up over 22% at one point in Wednesday afternoon’s trading, a win by virtually any standard.
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The Inventiva treatment, known as lanifibranor, is specifically targeted toward nonalcoholic steatohepatitis, or NASH. In testing lanifibranor, Inventiva turned to patients with nonalcoholic fatty liver disease (NAFLD) as well as type 2 diabetes mellitus. The study called for daily dosing, at 800 milligrams, and took about 24 weeks’ worth of doses to ultimately produce the key result of a 44% drop in Intra Hepatic Triglycerides (IHTG). Placebo studies, meanwhile, could only produce a 12% drop, showing overall effectiveness in lanifibranor.
The test wasn’t a complete win, but close; there were several other endpoints that lanifibranor proved successful with, but Inventiva also noted that the study ultimately had some missing data involved. That minor slip wasn’t enough to slow Inventiva and prompted the spectacular run-up seen today. Best of all, Inventiva noted that there were no safety concerns noticed over the period of the trial and that it was, overall, well-tolerated. A Phase 3 study has already begun that will likely make or break lanifibranor.
Inventiva also has a great run of success with analysts. Only four analysts are providing coverage, but each one calls it a Buy, making the analyst consensus a Strong Buy. Further, with an average price target of $24.33, Inventiva stock comes with a staggering 449.21% upside potential.