Is Arrowhead Pharmaceuticals (NASDAQ:ARWR) Moving in the Direction?

The biotech sector has been one of the more innovative sectors over the past decade or so, and during that time, many promising companies have come to the fore. One such company is Arrowhead Pharmaceuticals Inc (NASDAQ:ARWR), which is involved in creating solutions meant for tackling some of the rarest diseases.

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Naturally, Arrowhead has attracted attention due to its efforts and more so, because the efficacy data from clinical studies have been quite encouraging. Hence, it is important to take a closer look at the company and figure out why it could well prove to be a solid investment at this point.

One of the most important developments for Arrowhead in recent times has been its partnership with Johnson & Johnson for its hepatitis B virus product ABO-HBV. The partnership can potentially generate as much as $3.4 billion for the company. More importantly, the clinical data with regards to the product has been quite encouraging and gives Arrowhead the chance to get a foothold on a market that could be worth as much as $2.13 billion by 2026.

However, in addition to that, the company is also an evaluation of the effects of RNA interference therapy on rare liver diseases. The product in question is ARO-AAT, and in Phase 1 clinical trial, 45 patients displayed a reduction in serum levels.

The company is also working on other promising products, notable among those being ARO-APOC3 and ARO-ANG3, both of which are cardiometabolic products. The company conducted a Phase ½ trial among patients who had high cholesterol and triglycerides levels. Investors need to keep in mind that most of the company’s products will head to the next stage of clinical trials in 2023. The product which could enter Phase 3 trials in 2021 is ARO-APOC3.

The company boasts of cash and investments to the tune of $500 million, and that is an indication that Arrowhead might not need to dilute its shares in order to raise more cash. For investors who are looking for a bet on gene silencing technology, Arrowhead could be a viable play.

About Travis Garlick 1803 Articles
Been writing about and trading stocks since 2013. Manage a group of micro-cap investors on Facebook with over 15,000 members. Turned $8,500 into 185k the first year I started trading stocks and haven't looked back.