Zosano Pharma Corp (NASDAQ:ZSAN)

Zosano Pharma Corp (NASDAQ:ZSAN) Q3 Net Loss Widens

Zosano Pharma Corp (NASDAQ:ZSAN)

Zosano Pharma Corp (NASDAQ:ZSAN) shares gained 3.70% after the clinical stage biopharmaceutical company reported financial results and an operational update for Q3 2017. The unveiling of the financial results comes a day after the company initiated long-term safety study of zolmitriptan in migraine patients.

Zosano Pharma Corp (NASDAQ:ZSAN)

Zosano’s Net Loss

Zosano generated a net loss of (-$7.9) million or (-$0.20) a share in the third quarter, a slight increase from a net loss of (-$7.4) million, or (-$0.52) a share, reported last year. It awaits to be seen how investors will react to the wider than expected net loss as the stock continues to trade in a downtrend.

The stock has shed more than 70% in market value since March an underperformance that has plunged it to this year’s lows. Zosano Pharma Corp (NASDAQ:ZSAN) is currently trading near its 52-week low of $0.48 and in dire need of new catalyst if it’s to bounce back.

Research and development expenses in the quarter increased to $5.7 million from $5.1 million reported in Q3 of 2016. General and Administrative expenses remained unchanged at $2 million. Zosano exited the quarter with cash and cash equivalent of $19.8 million debt of $8.2 million and 39.2 million common shares outstanding.

During the quarter, the clinical stage biopharmaceutical company made important strides in the development of its pipeline of drugs. In September, the company presented data from Phase 2/3 ZOTRIP study evaluating M207 as a novel treatment for a migraine.

“The company continues to execute on our path to an NDA, including the initiation of our long-term safety study on November 7 and the continued scale up of manufacturing to support potential commercialization, pending approval of M207 by the FDA,” said CEO, John Walker.

Share Purchase Agreement

Separately, Zosano Pharma Corp (NASDAQ:ZSAN) has entered into a common share purchase agreement with Chicago-based institutional investor, Lincoln Park Capital Fund LLC. Pursuant to the approval of the SEC, the company is to sell shares worth $35 million to the investor.

Under the terms of the agreement, Zosano Pharma Corp (NASDAQ:ZSAN) is to control the timing and the amount of any investment by LPC. The investor will also be required to make purchases based on the purchase agreement and prevailing market prices at the time of each sale.

Zosano Pharma Corp (NASDAQ:ZSAN) plans to use proceeds from the purchase agreement to fund long-term study of its lead product candidate M207, and for general corporate purposes.

I have no positions in any of the stocks mentioned, and have no plans to initiate any positions within the next 72 hours. All information, including any data, is provided without any guarantees of accuracy.

Don’t miss out! Stay informed on $ZSAN and receive breaking news on other hot stocks by signing up for our free newsletter!

About the author: Monica has an undergraduate degree in Accounting and an MBA she earned – with Honors. She has six years of experience in the financial markets and has been an analyst for the past two years.

Zosano Pharma Corp (NASDAQ:ZSAN)

Zosano Pharma Corp (NASDAQ:ZSAN) Spikes On Migraine Data

Zosano Pharma Corp (NASDAQ:ZSAN) Spikes On Migraine Data

Zosano Pharma Corp (NASDAQ:ZSAN) traded higher after announcing the publication of positive pivotal data for its proprietary Adhesive Dermally-Applied Microarray technology. The stock was up by 5.6% in Thursday’s trading session, to end the day at $1.13 a share.

ZSAN Stock Performance

Shares of Zosano Pharma Corp (NASDAQ:ZSAN) are currently trading in a downtrend, after dropping from $3.50 a share in February. While the stock is slightly up for the year, it has underperformed the overall industry. Data compiled by Zacks Investment Research indicates that the stock is rated as a ‘buy,’ by one analyst firm and as a ‘hold’ by another.

Zosano Pharma Corp (NASDAQ:ZSAN)

Zosano Pharma Corp (NASDAQ:ZSAN) is a clinical-stage biopharmaceutical company focused on providing rapid systemic administration of therapeutics to patients using its ADAM technology. The investigational technology platform is designed to offer rapid drug absorption into the bloodstream resulting in improved pharmacokinetic profile compared to other dosage forms.

A publication by Cephalalgia contains positive results from Zosano Pharma Corp (NASDAQ:ZSAN)’s Zotrip Pivotal study. The multicenter, double-blind randomized trial analyzed the safety and efficacy of ADAM Zolmitriptan for the treatment of acute migraine.

“We are pleased to have the results of ZOTRIP, our pivotal study, published in Cephalalgia. The recognition of the results from ZOTRIP in such a well-known journal will continue to raise awareness of M207, and its ability to address an unmet need for patients struggling to find rapid and durable pain relief for migraine episodes,” said CEO John P. Walker.

Board Appointment

In addition to the publication, Zosano Pharma Corp (NASDAQ:ZSAN) has confirmed the appointment of Mr. Kenneth R. Greathouse to the board of directors. His experience in the field of neurology will be a key asset in bringing M207 to market.

He joins the company with over 40 years of experience in sales marketing and business development. Greathouse is also a co-founder of various pharmaceutical companies, including Manchester Pharmaceuticals.

“I look forward to working with the management team and Board as our lead program progresses towards an NDA filing and, if approved, towards commercialization,” said Mr. Greathouse.

Zosano Patent Application

Separately, Zosano Pharma Corp (NASDAQ:ZSAN) says it is in active discussions with the U.S Patent and Trademark Office (USPTO), regarding a patent application covering M207. The patent application details a method of rapidly achieving therapeutic concentrations of triptans for the treatment of migraines. If issued, the patent would extend coverage of the current patent from 2027 to 2037.

I have no positions in any of the stocks mentioned, and have no plans to initiate any positions within the next 72 hours. All information, including any data, is provided without any guarantees of accuracy.

Don’t miss out! Stay informed on $ZSAN and receive breaking news on other hot stocks by signing up for our free newsletter!

About the author: Monica has an undergraduate degree in Accounting and an MBA she earned – with Honors. She has six years of experience in the financial markets and has been an analyst for the past two years.

Zosano Pharma Corp (NASDAQ:ZSAN)

Zosano Pharma Corp (NASDAQ:ZSAN) Rallies

Zosano Pharma Corp (NASDAQ:ZSAN)

Zosano Pharma Corp (NASDAQ:ZSAN)’s bounce back continued in Wednesday’s trading session after the company presented data from a pivotal Phase 2 study of M207 as an acute treatment of migraine. The stock was up by 10.31% to end the day at $1.01 a share.

Stock Performance

The 10.31% rally helped push the stock above the $1 per share mark, key to the company remaining compliant to NASDAQ listing requirements. However, the stock continues to trade in a strong downtrend in a $0.89 – $1.1 trading range. The stock has shed more than 50% in market value since March.

Zosano Pharma Corp (NASDAQ:ZSAN)
One month ZSAN stock price chart

Zosano Pharma Corp (NASDAQ:ZSAN) is a clinical stage specialty pharmaceutical company focused on the systematic administration of existing drugs through the skin, using proprietary Adhesive Dermally-Applied Microarray (ADAM) technology.   The technology consists of titanium micro projections coated with drug that is absorbed into the micro capillary system of the skin.

The company has already posted positive results from a ZOTRIP study that evaluated M207 administered through the ADAM technology. The clinical trial results indicate that a 3.8mg dose of M207 met both co-primary endpoints of pain freedom and bothersome symptom freedom after 2 hours.

“Presenting our results in a rigorous scientific forum, and discussing them with world-class headache experts is very valuable for helping us understand the types of patients who might benefit most from our unique drug delivery method,” said Dr. Kellerman.

ADAM Patent

Zosano Pharma Corp (NASDAQ:ZSAN) has already received a notice for the publication of a patent, pertaining to the ADAM technology. The patent details a system for treatment or alleviation of migraine, through intracutaneous administration of effective amount of zolmitriptan

According to the Chief Executive Officer, John Walker, the patent application establishes a long term proprietary position for M207 as it will benefit from protection through 2037.

Separately, Zosano Pharma Corp (NASDAQ:ZSAN) reported a net loss of (-$6.7) million in the second quarter compared to a net loss of (-$6.6) million reported in Q2 2016. Research and Development costs totaled $4.4 million in the quarter compared to $4.3 million reported last year. The increase was due to an increase in costs for labor, medical affairs and M207 long term safety study.

Zosano Pharma Corp (NASDAQ:ZSAN) exited the second quarter with cash and cash equivalent of $21.2 million

I have no positions in any of the stocks mentioned, and have no plans to initiate any positions within the next 72 hours. All information, including any data, is provided without any guarantees of accuracy.

Don’t miss out! Stay informed on $ZSAN and receive breaking news on other hot stocks by signing up for our free newsletter!

About the author: Monica has an undergraduate degree in Accounting and an MBA she earned – with Honors. She has six years of experience in the financial markets and has been an analyst for the past two years.

Zosano stock

Can Zosano Pharma Corp (NASDAQ:ZSAN) Stock Turn Around?

Zosano Pharma Corp (NASDAQ:ZSAN)

Zosano Pharma Corp (NASDAQ:ZSAN) stock lost almost 10% Friday after their Q2 financial results were released, continuing a downtrend that has persisted ever since the stock broke through support at $1.20 on August 3. Share volume was more than double the 30-day, daily average. Friday marked the ninth day in a row ZSAN stock dropped in value, but Zosano shares are still well above their 52-week low of $0.45.

Zosano stock price chart:

Zosano Pharma Corp (NASDAQ:ZSAN)
One month ZSAN stock price chart

About Zosano

Zosano Pharma Corp (NASDAQ:ZSAN) is a clinical stage biopharmaceutical company focused on providing novel delivery methods of therapeutics using their proprietary Adhesive Dermally-Applied Microarray, or ADAM technology.  Zosano recently announced positive results from their ZOTRIP study that assessed M207, the company’s proprietary formulation of zolmitriptan. M207 is being assessed as an acute migraine treatment. It was delivered through the company’s proprietary ADAM technology.

Zosano’s ADAM technology consists of titanium micro-projections coated with drug, and the company’s formulation of zolmitriptan.  The ADAM technology delivers the drug by allowing the drug to be absorbed into the microcapillary system of the skin.  In February 2017, Zosano announced statistically significant results from the ZOTRIP trial, which demonstrated that the 3.8mg dose of M207 met both co-primary endpoints, achieving pain freedom at 2 hours.

Zosano Pharma Corp (NASDAQ:ZSAN) reported a Q2 2017 (-$6.7) million net loss, or (-$0.17) per share on a basic and diluted basis, compared with a Q2 2016 (-$6.6) million net loss, or (-$0.54) per share on a basic and diluted basis. R&D expenses increased to $4.4 million from $4.3 million in Q2 2016. General and administrative expenses were $2.2 million – up from $2.0 million in Q2 2016.

Zosano Stock

At the end of February 2017, ZSAN stock was trading near $3.50 but has been in a strong downtrend since. Back in February, ZSAN stock benefitted from positive clinical trial results. However, the stock has spent a lot of time trading below the $2.00 level over the past two years despite being given a $4.00 consensus price target. Two analysts cover the company. One assigns ZSAN stock as a “Strong Buy” while the other rates the shares as a “Hold”. YTD, ZSAN shares have performed moderately well – up almost 9%. However for the year the stock is down over 42%.

A change in earnings or sales may likely lift the stock. In 2014 the per share loss was (-$2.78). That per share loss was smaller in each of the next two reporting years but was still at (-$2.17) for 2016. Sales have also been a major factor. No sales were reported for 2016 but, back in 2012, a sales number of over $11.6 million was reported.

I have no positions in any of the stocks mentioned, and have no plans to initiate any positions within the next 72 hours. All information, including any data, is provided without any guarantees of accuracy.

Don’t miss out! Stay informed on $ZSAN and receive breaking news on other hot stocks by signing up for our free newsletter!

About the author: Steve Clark is a 23-year Wall St professional with stints in M&A, risk management, and algorithm trading. Steve keeps his head in the game by looking for, and writing about, small companies that often get overlooked by the big investment firms.