Why did Vaxcyte (PCVX) stock soar at market opening today?

Highlights:

• The PCVX stock jumped over 70 per cent soon after the US market opened on Monday.
• Its trading volume was nearly six million during writing.
• The company has announced positive topline results for its vaccine candidate.

The stocks of the biotechnology company, Vaxcyte, Inc. (NASDAQ:PCVX) were among the top percentage gainers on Wall Street Monday after the company reported positive results for its vaccine candidate. The PCVX stock was up over 70 per cent soon after the opening bell on Monday, October 24.

Let's quickly dive into the key details of its recent announcements and see how it may have helped in the recent gains of the biotech company's stock.

What's in the announcement?

Vaxcyte Inc. is a biotechnology company that focuses on vaccine innovation and other related operations to protect humans from bacterial diseases' impact. The company focuses on developing a range of spectrum conjugate and novel protein vaccines for treating or preventing bacterial infectious diseases.

The US$ 2.07 billion market cap firm said on October 24 that it had achieved positive topline results from the Phase 1/2 clinical trial of VAX 24. The clinical proof-of-concept trial was done to evaluate the vaccine candidate's safety, tolerability, and immunogenicity.

The vaccine candidate, VAX-24, is Vaxcyte's investigational 24-valent pneumococcal conjugate vaccine (PCV). The vaccine is primarily used in healthy adults aged between 18 and 64.

In the Phase 1/2 clinical study, the vaccine candidate showed positive results for safety and tolerability, meeting the primary requirements. These positive results demonstrate a safety profile identical to PCV20 for all evaluated doses.

According to the company release, the study showed that the vaccine candidate met or even topped the regulatory efficacy standards for all 24 serotypes at the traditional 2.2 mcg dose. It said that the biotech firm now aims to move into a Phase 3 program.

Source: ©Kalkine Media®; © Canva via Canva.com

Bottom line:

The trading price of the PCVX stock was 35.04 at 9:34 am ET on October 24, a surge of 70.26 per cent from its prior close of US$ 20.58. At the time of drafting, the volume of the biotechnology company's stock was over 5.92 million.

Vaxcyte Inc's net loss totaled US$ 48.53 million in Q2 FY22, against a loss of US$ 23.67 million in the preceding year's same period.