Biotech stocks went crazy Monday, with several promising biotech startups targeting cancer, depression and other maladies leading the way with double-digit gains.

The stocks of a number of biotech startups surged amid takeover speculation fueled by Eli Lilly & Co.'s (LLY) - Get Report $8 billion deal for Loxo Oncology (LOXO) - Get Report .

Eli Lilly's deal for Loxo comes just days after Bristol-Myers Squibb Co. (BMY) - Get Report rolled out a $74 billion deal for Celgene Corp. (CELG) - Get Report .

Positive drug research test results announced by some firms also appeared to help send biotech share prices skyward, including firms with no connection to cancer research.

Axsome Therapeutics (AXSM) - Get Report rocketed 161% to $6.87 after Phase 2 test results showing its newest drug, AXS-05, had a significant impact on depression after six weeks.

Sage Therapeutics Inc., (SAGE) - Get Report jumped 42% to close at $139.13 after the Massachusetts biotech firm announced encouraging results for its postpartum depression treatment.

(UBIO) - Get Report , which tracks the biotech stocks on NASDAQ, posted a 10.18% gain for the day.

A number of other biotech cancer research firms also led the way up Monday. All have been mentioned as possible takeover targets in wake of the recent Elli Lilly and Bristol-Myers Squibb acquisitions.

  • Clovis Oncology (CLVS) - Get Report rose 18.48%, to $21.73, following strong, fourth-quarter sales of its key drug Rubraca.
  • Karyopharm Therapeutics Inc. (KPTI) - Get Report edged up 1.69% to $10.23.
  • Exelixis Inc. (EXEL) - Get Report jumped 5.64% to $21.90.
  • Seattle Genetics (SGEN) - Get Report rose 3.38% to $62.92.
  • Epizyme (EPZM) - Get Report hit $8.40 after a 5.79% increase. The rise comes on the heels of the research firm's Jan. 4 announcement of accelerated approval by the FDA for an investigational drug for patients with a form of lymphoma.
  • Puma Biotechnology (PBYI) - Get Report rose 10%, to $23.53. The firm last month released positive test results for its breast cancer treatment drug Nerlynx.
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