Check up: The COVID-crisis strikes leaving just 9 stocks in the black
Health & Biotech
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Here’s our fortnightly wrap of all the news driving ASX health stocks.
Of the ASX’s 137-odd small cap health stocks, only nine were in positive territory over the last fortnight; nine were flat and 119 saw their share prices fall.
Interestingly, all but one of the companies that have survived the market rout were not selling hand sanitiser.
TBG Diagnostics (ASX:TDL) got a COVID-19 testing kit approved for sale in Europe — although the news was out before it could go into a trading halt on Tuesday.
Testing kits are in short supply around the world.
Skin Elements (ASX:SKN) surged in the polls over the last fortnight after quietly dropping news of a new product in its half-year report. You guessed it, it’s hand sanitiser.
The only issue, for the punters who quickly jumped on the stock hoping for another Zoono (ASX:ZNO) (a company that went from $14m last year to $250m and is doing $150,000 in sales online a day now), is that there is no information available about Invisi Shield, when it’s going to be ready for sale, or where.
The only information that has been released is online in the half-year report confirming a development program and that it had been brought forward for “immediate release”.
The ASX pinged Skin Elements for its stock surge and the company promised to give investors a little more to go on. It is yet to do so.
Neuroscientific Biopharmaceuticals (ASX:NSB) proved that good results can trump a crisis.
A preclinical study into its lead drug candidate, EmtinB, for Multiple Sclerosis had a significant positive effect on the proliferation of cells that delay damage to the protective sheath over nerves.
MS causes damage to the protective sheath, myelin, that covers nerve fibers, disrupting communication between the brain and the rest of the body. EmtinB helped to grow more of the support cells of the central nervous system called oligodendrocytes, which create the myelin sheath that surrounds the nerve fibers.
The study indicated a very significant effect on remyelination and increased the total number of cells by up to five times after five days.
Factor Therapeutics (ASX:FTT), the company that collapsed after phase two trials into a wound care product failed in 2018, was a surprise market beater.
Investors have been getting antsy over the long 18-month wait but the board has not rushed into anything.
It has been carefully sifting through new opportunities for the company to buy and says it’s “on the final stretch of due diligence” for three, with one in particular close to a final deal.
Blood banker Cryosite (ASX:CTE) was in the black because former star stockbroker, and its former chairman, Andrew Kroger was buying up large amounts of stock.
The now-non executive director lifted his ownership from 38 per cent to 40 per cent.