Deciphera Pharmaceuticals (DCPH) - Get Report leaped as the company reported positive results from a Phase III clinical study of its drug to treat patients with advanced gastrointestinal stromal tumors.
The stock closed 80% higher at $35.90. Its day high Tuesday reflected a more than doubling to $42.99; it had closed Monday at $19.95.
The results positioned the company to file for FDA clearance early next year for ripretinib, a broad-spectrum KIT and Pdgfra inhibitor.
In the 129-subject Invictus study, the patients treated with Ripretinib showed statistically significant improvement in progression-free survival compared with a placebo.
Specifically, the median progression-free survival of those receiving treatment was 6.3 months vs. one month in the control group, with an 85% reduction in the risk of cancer progression or death.
Piper Jaffray analyst Christopher Raymond described the study results as a "best-case" scenario.
He told investors in a research note that ripretinib "is now not just approvable, but in our view very likely the best-in-class KIT inhibitor" in gastrointestinal stromal tumors.
He maintained an overweight rating on the shares with a $55 price target.