NEW YORK (TheStreet) -- Oculus Innovative Sciences (OCLS) shares are up 11.2% to $1.67 in market trading on Wednesday after the specialty pharmaceutical company announced the receipt of a new U.S. patent for Microcyn Technology hypochlorous acid in the treatment of atopic dermatitis.
"Our intellectual property portfolio is perfectly synced with our new focus on the dermatology market with our direct sales force. The empirical evidence demonstrating Microcyn's efficacy in the treatment of atopic dermatitis is highly compelling," said senior VP for research and development Dr. Bob Northey. "This new patent provides Oculus market exclusivity for the use of hypochlorous acid with broad ranges of activity in the treatment of atopic dermatitis until the year 2027 when the patent expires."
The company cited a GlobalData study that estimated the global atopic dermatitis therapeutics market delivered $643 million in 2009 and is expected to deliver $810 million in revenue by 2016.
Oculus portfolio now includes 44 issued and allowed patents, nine in the U.S. and 35 internationally, and 82 pending patent applications.
TheStreet Ratings team rates OCULUS INNOVATIVE SCIENCES as a Hold with a ratings score of C-. TheStreet Ratings Team has this to say about their recommendation:
"We rate OCULUS INNOVATIVE SCIENCES (OCLS) a HOLD. The primary factors that have impacted our rating are mixed - some indicating strength, some showing weaknesses, with little evidence to justify the expectation of either a positive or negative performance for this stock relative to most other stocks. The company's strengths can be seen in multiple areas, such as its revenue growth, largely solid financial position with reasonable debt levels by most measures and expanding profit margins. However, as a counter to these strengths, we also find weaknesses including deteriorating net income, disappointing return on equity and weak operating cash flow."