OXIS International, Inc. (OTCMKTS:OXIS) is trying to make a comeback after a poor run in the recent past. Given the innovative immunotherapeutic cancer treatments the company is working on, one would think the stock is highly undervalued given their market potential. Unlike the biotech company, Pfizer Inc. (NYSE:PFE) seems to be enjoying one of its best rides in the market as it continues to affirm its position as the world’s largest drug manufacturer.
Cash Balance Factor
Pfizer continues to bolster its prospects in the market with a string of investments in both the acquisition front as well as on ambitious projects. The pharmaceutical giant recently announced plans to build a $350 million plant in China for developing biotechnology drugs. It has also made a gigantic bid for Anacor pharmaceuticals as it continues to look for ways to supplement its expansive pipeline of drugs.
Oxis, on the other hand, does not have the financial muscle of its peer to compete on the same level. The company might have a robust portfolio of next generation cancer treatments, but given they are yet to receive the much needed FDA approval, uncertainty will always continue to clobber the company’s sentiments in the market.
However, if everything pans out as expected Oxis could rip big gains from its investment on cancer treatments that are in hot demand in the market at the moment. The Biotechnology Company recently received a boost in volume and price in the market after reaching an agreement with the University of Minnesota. The deal is for the development and commercialization of its cancer therapies using Trispecific Killer Engager (TriKE) technology.
OXIS Robust Cancer Treatment Pipeline
Spearheading Oxis robust pipeline of next generation drugs is OXS-1550, which is a proposed treatment for leukemia and lymphoma. The FDA has a ready given the go-ahead for Phase 1 and Phase 2 trials for the drug, the company having already enrolled 25 patients for the same.
Outside OXS-1550, OXIS International, Inc. (OTCMKTS:OXIS)S is also working OXS-4235; a novel therapy designed to treat multiple myeloma that affects up to 30,000 people in the US a year. OXS-2175 is another treatment the company is working on as it looks to address triple negative breast cancer. The drug if successful and approved could help address the needs of over a quarter million new cases of invasive breast cancer reported annually.
Bottom Line
How soon OXIS brings its proposed treatment to market will have a huge say on whether it will be able to rip the rewards of its investments in the multibillion-cancer treatment business. Pfizer Inc. (NYSE:PFE) having suffered a setback on the acquisition of Allergan has already reiterated plans to carry out 20 clinical trials this year, most of which will target cancer treatments. Given its financial position, the company could be well positioned to bring its treatments to market earlier than OXIS.
Such a move could allow it to accrue a substantial amount of market share in the multibillion industry at the expense of OXIS International, Inc. (OTCMKTS:OXIS). However, with cancer being one of the hottest and most lucrative areas of medicines there will always be opportunities that both companies can tap into going forward.