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Hot Biotech Penny Stocks to Watch As New Variant Creates Volatility

3 Biotech Penny Stocks to Watch With the New Variant in Mind 

With another interesting day of trading penny stocks and blue chips off to a good start, it’s clear that volatility is here to stay. Although it may have seemed like things were calming down in the past few weeks, the emergence of the Omicron variant has sparked a new wave of fear and instability. 

To understand how this will play into penny stocks, we first have to consider what effects the variant will have on certain industries. Conveniently enough, this fear has been reignited several times in the past two years. And for that reason, we can use the past as a case study for what could happen in the next few months. 

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Let’s assume that the Omicron variant takes a similar path to that of the Delta variant. We’ve already witnessed travel stocks slump significantly alongside energy penny stocks. This makes sense as immediate fears show a potential reduction in travel. Of course, the most obvious course is for biotech penny stocks that are involved, to see heightened attention. And as a result, the biotech industry as a whole continues to see more popularity than usual.

However, on Monday, it appears as though the fear has been tapered slightly, with gains and rebounds occurring across the board. So, while it is difficult to predict what will happen in the next few months, we can assume that volatility and price fluctuations will occur rapidly. With all of that in mind, let’s take a look at three penny stocks to watch right now. 

3 Biotech Penny Stocks to Watch With the New Variant in Focus 

Leap Therapeutics Inc. (NASDAQ: LPTX) Ibio Inc. (NYSE: IBIO) Diffusion Pharmaceuticals Inc. (NASDAQ: DFFN

Leap Therapeutics Inc. (NASDAQ: LPTX)

Leap Therapeutics Inc. is a penny stock that has climbed by more than 19% in the past five days. For some context, Leap Therapeutics is a biotech company that is working on various cancer treatments. Its primary program is DKN-01, which is used to treat esophagogastric cancer, hepatobiliary cancer, and other conditions. Dickkopf-related protein 1 is inhibited by DKN-01, a monoclonal antibody.

On November 12th, Leap Therapeutics reported its third-quarter financial results for 2021. Leap experienced a higher net loss year over year at $11.1 million compared to $7.1 million. In addition to this, Leap’s license revenues were $0.4 million, which remained unchanged year over year. The company’s research and developments went up to $4.7 million due to an increase in manufacturing costs.

“We presented positive new data at ESMO of DKN-01 in combination with BeiGene’s tislelizumab and chemotherapy demonstrating compelling overall response rates in patients with first-line gastric or gastroesophageal junction (G/GEJ) cancer, particularly those patients whose tumors expressed high levels of DKK1 or low PD-L1”.

The President and CEO of Leap, Douglas E. Onsi

Noting this new info, we see that Leap could have potential as a high popularity biotech penny stock. We also have to consider however that LPTX stock is quite volatile right now. With all of that in mind, will LPTX stock make your watchlist this holiday season?

Ibio Inc. (NYSE: IBIO) 

One of the bigger gainers of the day on Monday is IBIO stock, pushing up by over 20% at midday. Despite a YTD drop of around 30%, shares of IBIO stock have been pushing up during several recent trading sessions. As a result, investors continue to pay attention to it. There’s a few reasons why shares of IBIO stock are shooting up right now.

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For starters, Ibio is a leading biopharmaceutical company working on its FastPharming Manufacturing System. In addition, the company is developing its Covid-19 vaccine program known as IBIO-202 and recently released an update due to the Omicron variant. 

“It is becoming increasingly likely that new COVID-19 vaccines will be needed to address the growing threats to global public health from SARS-CoV-2 variants such as Omicron. The emergence of Omicron has strengthened our belief that a next-generation vaccine development strategy such as iBio’s, which targets the genetically more conserved nucleocapsid, or N, protein rather than the mutable S protein, is needed to help overcome this pandemic.” 

The Chairman and CEO of Ibio, Tom Isett

As a pure-play Covid penny stock, Ibio is highly correlated with any news relating to Covid or the pandemic. With all of this in mind, will IBIO stock be on your list of penny stocks to watch right now?

Diffusion Pharmaceuticals Inc. (NASDAQ: DFFN) 

Another decent gainer of the day so far is Diffusion Pharmaceuticals Inc. With a 6% gain at midday, shares of DFFN stock have seen a small bullish turnaround in the past week or so. If you’re not familiar, Diffusion Pharmaceuticals develops a range of novel therapies including its lead product candidate, TSC (trans sodium crocetinate). 

TSC works to allow more oxygen into tissues in those with low oxygen levels or hypoxia. In November, the company stated that its near-term focus is on designing a clinical study to show the efficacy of TSC when used intravenously for hypoxic solid tumors. Last week, the company made an exciting statement, announcing that it has dosed its first patient in the Altitude Trial. 

“It’s been exciting working with our internationally recognized partners to get this trial started, and we look forward to continuing to leverage their expertise in hypoxia research and their unique extreme exposure simulation facilities as the study proceeds.”

The CMO of Diffusion, Chris Galloway

New trials are always very exciting for companies and investors alike. They allow for a potential look into the future of the company. So, whether this new trial makes DFFN stock worth watching or not is up to you. 

Which Biotech Penny Stocks Are You Watching Right Now?

If you’re looking for biotech penny stocks to buy, there are hundreds of companies to choose from. But as always, it’s best to be selective and understand exactly what the company is doing right now, and what it could do in the future. 

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If we consider that the new variant isn’t going anywhere anytime soon, investors can use that information to potentially make money with penny stocks. With that in mind, which biotech penny stocks are you watching right now. 

The post Hot Biotech Penny Stocks to Watch As New Variant Creates Volatility appeared first on Penny Stocks to Buy, Picks, News and Information | PennyStocks.com.

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