How High Will Dendreon Surge Go?
Shares of Dendreon (NASDAQ:DNDN), a biopharmaceutical company focused on cancer-related treatments, surged 20.98 percent on Friday, closing at $6.17 per share, which is big jump for a company that saw its stock price drop from $50 per share to $5 in a span of two years.
The company hit its all-time high almost three years ago, closing at $54.96 on April 30, 2010. Since then, the stock has been on a generally downward trend.
Friday’s rally was driven by news that more patients are taking the Seattle-based drug manufacturer’s prostate cancer drug Provenge. In a research note seen by Bloomberg, Sanford C. Bernstein & Co. analyst Geoffrey Porges noted that discussions with doctors show that the drug is being prescribed more and more often. Urologists said they expect a 10 percent to 20 percent increase in the frequency of its use this year. In the previous twelve months, shares of Dendreon dropped 60 percent based on concerns that doctors were not using Provenge often enough…