Shares of Sesen Bio began trading at $5.22 on August 13, 2021. As the day progressed, the price stayed around that level with a moving average of $5.80. During the day, the share price moved up to $6.08 in hopes of good news about possible U.S. Food and Drug Administration (FDA) approval of its targeted bladder cancer therapy Vicineum™.
Sesen Bio (NASDAQ: SESN), a late-stage clinical company developing targeted fusion protein therapeutics for the treatment of patients with cancer, today announced that it received a Complete Response Letter (CRL) from the FDA regarding its Biologics License Application (BLA) for Vicineum™ (oportuzumab monatox-qqrs) for the treatment of BCG-unresponsive non-muscle invasive bladder cancer (NMIBC).
As reported by Benzinga Pro, the FDA determined that it cannot approve the BLA for Vicienum in its present form. It also provided recommendations specific to additional clinical/statistical data and analyses in addition to chemistry, manufacturing, and controls (CMC) issues pertaining to a recent pre-approval inspection and product quality.
Sesen Bio is located in Massachusetts. The company focuses on developing protein therapeutics across a wide range of disorders. However, the treatment of cancer and a bladder cancer drug are most pressing at this time.
Once news regarding the FDA denial became public, shares dropped 90% in 1 candlestick from $6.08 to being halted down to 0.70. After that happened, trading was halted 4 times within the next 2 to 3 hours, which is a significant amount. As of December 2022, Sesen paused development of Vicineum while it searches for a new path forward.
If you are interested in a company that is looking for advancement in a therapeutic company, learn about how to buy Sesen Bio.
Step-by-Step Guide on How to Buy SESN
Before investing in SESN, review these steps on how to buy this stock. It is important to know the various order types and be aware of the different promotions brokerages offer.
Step 1: Pick a brokerage.
Before you can invest in any company, you need to choose a brokerage to execute your trades. Now that most brokers have moved away from a commission-based model, you can purchase SESN shares free of charge — regardless of which broker you choose.
Define your strategy, then choose a brokerage that offers the necessary tools to carry out your investing strategy. If you need practice before putting your hard-earned money to work, select a brokerage that offers paper trading.
Finally, pay attention to promotional offers from brokerages. You may end up with bonus funds to trade with, a free stock for you and your friends or numerous other potential benefits.
Step 2: Decide how many shares you want.
Once you select a broker, you need to decide how many shares of SESN you want to buy. Some factors to consider include your age, time horizon, risk tolerance and reasonable expectations for the future of the company.
Investing more than a small percentage of your funds into 1 company is extremely risky. Before placing a buy order with your broker, you need to determine how much money you want to risk, when you will sell on the upside to take profits and when you will sell on the downside. One option is a stop-loss order to protect your funds.
By looking at the chart and answering these important questions, you can find a favorable price point and purchase SESN.
Step 3: Choose your order type.
After determining how many shares of SESN you want to buy, your job as an investor is not complete. You need to decide which order type to use.
The most basic order type is the market order, which fills your order at the current market price. This order type is best used when you are buying a stock with low volatility and trying to do it instantly.
If you want to better define your risk, you should use a limit order instead, which allows you to purchase shares at a set price or lower. When trading an extremely volatile stock like Sesen Bio, it may be beneficial to use a limit order because this prevents your buy order from being filled at a price point that results in being down in the stock from the very beginning.
Step 4: Execute your trade.
Once you’ve determined the appropriate order type to use, all you need to do is submit your buy order to your broker and wait for your order to process. Once the order fills, your shares of SESN should appear in your brokerage account.
SESN Stock History
Pros to Buying Sesen Bio
- Potential Advancement: Sesen Bio was denied in its potential cancer treatment; with that being said, if the FDA were to approve Sesen Bio’s treatment, it could increase the price of the stock significantly.
- Low Float: On Benzinga Pro, it was reported that Sesen Bio had 196 million shares for its float.
Cons to Buying Sesen Bio
- Risk of Bad News: Sesen Bio tried to get a product FDA approved; however, it was denied. In the most recent news, SESN pitched a new idea regarding its bladder cancer treatment, which also was denied. It seems that this company has a problem making a good product that the FDA can approve.
Develop with Sesen Bio
Sesen Bio has requested FDA approval for multiple therapies within its cancer treatment development and all have been denied. Although that trend is not promising, SESN has a lot of cash on hand and is looking to create a working product. This stock is worth adding to your watchlist in hopes of being FDA approved. Remember, there could be a cash frenzy at any time if the company can get a drug back in the pipeline, or it may need to pivot and investors may choose to buy at the dip or exit their positions depending on their risk tolerance.