Is This Beaten-Down Stock a Millionaire Maker?

Over the past two years, Iovance Biotherapeutics (IOVA), a small-cap bio company, has made significant clinical and regulatory gress

Penny stocks tend to be risky, but Iovance Biotherapeutics has an exciting apved duct and several potential catalysts that could jolt its stock price

How ly is that to happen

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An innovative apach to treating cancer Iovance Biotherapeutics' claim to fame is that it developed Amtagvi, a medicine for advanced melanoma (skin cancer)

There are at least two important things to note this duct

First, it is manufactured from patients' tumor-infiltrating lymphocytes (TILs), a type of white blood cell that destroys cancer cells

Second, Amtagvi became the first medicine of its kind apved by the U

Food and Drug Administration for the treatment of metastatic melanoma

It's not surprising, then, that Amtagvi's sales have been growing at a good clip

The company's long-term strategy seems simple enough

It is currently seeking apval for Amtagvi in other regions, after which it will look to earn label expansions for the medicine

Then, Iovance Biotherapeutics will work on other TIL-based therapies

If all of that happens without a hitch, Iovance Biotherapeutics could, indeed, generate life-changing returns from its current levels

Will Iovance's breakthroughs be enough

It's hard to bet on Iovance Biotherapeutics accomplishing such a feat despite its Amtagvi-related success

The medicine was a significant breakthrough and could achieve blockbuster at some point

Even so, one issue with Amtagvi is that it is a complex medicine to administer

The cedure requires collecting patients' cells, which are used to manufacture the therapy

It takes 34 days for the manufacturing work to be

It did so because it had miscalculated the timeline for the activation of authorized treatment centers where Amtagvi is administered

Launch dynamics are complex for any medicine, but they are even more so for therapies Amtagvi

This factor significantly complicates matters for Iovance Biotherapeutics, making the stock less attractive, as it impacts its revenue and earnings potential

That's before we account for other obvious potential issues

Consider that a lot would have to go right for Iovance Biotherapeutics to perform well through the next two decades

It will need to record consistent clinical and regulatory wins

Setbacks, particularly with otherwise mising ducts or pipeline candidates, will sink its stock price

That's the risk bio investors have to with, and the risk is far higher when dealing with a smaller drugmaker Iovance

Perhaps Iovance Biotherapeutics will perform well regardless, but it's hard to bet on that happening, considering it has yet to establish itself

The company currently has only two ducts on the market, remains unfitable, and has only enough cash for the next two and a half years, facing some uncertainty due to the complexity of the therapies it

Between potential clinical trial failures, regulatory rejections, and the possibility that Iovance Biotherapeutics may have to re to dilutive financing, the stock appears far too risky for most investors

It's worth keeping Iovance Biotherapeutics on your and considering small sums in the stock if its spects imve

Sper Junior Bakiny has no position in any of the stocks mentioned

The Motley Fool has positions in and recommends Iovance Biotherapeutics

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