Shares of Synairgen PLC (LON: SNG) have exploded nearly 400% to 180p after the drugmaker revealed positive results from a clinical trial of its drug for the treatment of the severe symptoms of COVID-19 disease.
The firm said that 79% of tested patients showed a “lower risk of developing severe disease compared to those given the placebo”.
“Our efforts are now focused on working with the regulators and other key groups to progress this potential COVID-19 treatment as rapidly as possible,” chief executive Richard Marsden said.
SNG001, a test drug developed to treat positive patients with more severe symptoms, has also proved successful in ramping up the recovery from the COVID-19 virus. Patients who received the drug were more than twice as likely to recover from the illness than those that received the placebo.
Synairgen share price exploded almost 400% today on the news. Despite the rapid ascendance, analysts believe that the upside may be much higher for the stock.
Mark Brewer, the analyst at finnCap, increased his target for Synairgen stock price to 360p. The set target price represents a premium of 886% from Friday’s close of 36.5p.