How To Buy Summit Therapeutics Stock – Stock Moe Special Short

How To Buy Summit Therapeutics Stock - Stock Moe Special ShortThis is how to buy Summit Therapeutics stock (SMMT $11.00) after it went up over 50% today.   It is going to be a scary ride tomorrow, but we have been here before.  Another day and yet another Therapeutics stock goes through the roof.  This one happens to be Summit Therapeutics stock.  They are following the path of the other ones that we took advantage of during similar circumstances.  I have added this position to the Stock Moe portfolio to try to add a few “easy” hundreds to the overall value, if not thousands.  Many investors are wondering how to buy Summit Therapeutics stock in a way that will maximize their returns.  This will show you my opinion and method.

If you are unfamiliar with these pharmaceutical plays, you will need to read a few of these articles that describe exact instances of what happened today with Summit’s stock.

Voyager Therapeutics
Acadia Pharmaceutical
Genocea Biosciences
Galmed Pharmaceuticals
Zynerba Pharmaceuticals
Relpysa Incorporated

The above stocks are so similar, it is eerie.  And more importantly, Summit Therapeutics is replicating them to the bone.  So what happened to Summit Therapeutics today?  They had the FDA approve their latest drug for expanded phase 2 proof-of-concept clinical trials aptly named PhaseOut DMD to trial sites in the U.S.  This is absolutely huge for the company.  They treat Duchenne Muscular Dystrophy (DMD) and could tap into an estimated $600,000,000 that would be generated with this drug getting final approval by the FDA down the road.  As we know with companies that are creating drugs for Duchenne Muscular Dystrophy, there can be serious setbacks when dealing with the FDA.  Last night, we witnessed SRPT go for approval for their drug that treats DMD and fail miserably.  Their stock ended up losing 26% after opening up down more than 40% down.  The pain for that company is probably not over yet, since they will need to raise funding for future testing.  But that is an article for another day.  Today, it is all about how to buy Summit Therapeutics stock and this opportunity to cash in on the short play.  Let’s get on with how to buy Summit Therapeutic stock and make some real cash.

So the FDA is allowing an expanded test into the U.S.  Obviously, the U.S. market is a money making extravaganzas if you can get your drugs approved.  The expected cost of the SRPT drug was $300,000 a patient per yer.  That drug was denied yesterday, but you can imagine the kind of income that the company would receive if they actually got approval.  Insurance companies would be paying out the nose for this.  Makes you wonder if they have anything to do with the outcomes of the review process.  Once again, another article for another day.  The fact is that SMMT would be making  hundreds of millions of dollars if they can get their drug approved and help those afflicted with this horrible disease.  And the stock could go multiples to new highs that could  make early investors very wealthy.  But, that is if they can get their drug final approval down the road.  It takes years to make it to that point and we have quite a ways to go.  This is one major variable in how to buy Summit Therapeutics stock that we need to consider.

Today Summit Therapeutics made a ton of cash on the above announcement.  I am here to say that it was too much too fast.  As with the other pharmaceutical stocks out there that have witnessed similar results, calmer traders step up and sell at a major profit the next day.  Today’s jump is a combination of great news for their drug AND the short squeeze that was put on.  The stock went higher and higher and higher and then…stopped.  It couldn’t keep that momentum up for the course of the day.  And in typical fashion, it went on a pretty horizontal path until close.  (See chart below)  As you can see, the perfect entry point would of been at 12:30, but that is good old hindsight coming back to haunt us.  So I have made a habit of shorting the stock right before the closing bell in order to avoid a timing issue midday.  This is the way I answer the question of how to short Summit Therapeutics stock.

How To Buy Summit Therapeutics Stock

In case you are wondering how we are making out with this kind of trading, I highly recommend you take a look at the Stock Moe Portfolio and see the actual results as they happen and not days later like some other “investors” like to claim.  I write up exactly how I am investing in a given stock and show you how I plan on turning $10,000 into a $1,000,000 in front of all my readers.  (Or I will go bankrupt in a glorious ball of fire…either will be very entertaining)  And if you want to be kept up on all my trades and breaking news from Wall Street, take moment to sign up for the newsletter below.  It will be turning into a pay subscription down the road, but anyone who joins now will be grandfathered free for life.  Thanks in advance and know that it is the best thing “free” has every gotten anyone.  :)

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On a side note, GUSH is taking off and looks to be a solid play for the long term as stated in last week’s article.  Up about 10% today and pulling in some good gains for those of you that stuck with it throughout the last few days.  It is amazing some of the stocks out there that can give you the leverage to turn a little bit into quite a ton of cash.  Take a look at the following for instance:

Symbol Name Price
UWTI VelocityShares 3x Long Crude Oil ETN $27.57
DWTI VelocityShares 3x Inverse Crude Oil ETN $106.75
AGQ Ultra Silver ETF $39.82

Feel free to take a look at these stocks as well and see what you could be earning compared to a regular stock purchase.  It is one of the highest risk assets to own, so one should be sure that they are able to take very large losses in percentage terms without messing with the integrity of the long term portfolios.  In other words, seek professional help if you are considering these.  You know have your answer to how to buy Summit Therapeutics stock the right way.  As always, thanks for reading and good luck trading.

UPDATE:  It was yet another successful trading day pulling in 10% for this stock.  It traded as predicted as the article called for.  It was a little disappointing that it didn’t fall more than the 10% level, but it was an easy trade to make.  Take a look at the Stock Moe Portfolio to see how we are making out with our third consecutive trading win.  That puts the portfolio at 3-0, if you are counting. :)  As for what I see for this stock going forward, I see one more day of losses and then it could follow a slow incline up like other pharmaceuticals have.  But I only trade these types for a day or two tops.

How To Buy Summit Therapeutics Stock – Stock Moe Special Short

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Notice: Any information that is written on this site is for educational purposes only. It should never be considered as financial or investing advice. Anything you read on this site is just informational and that is it. I am no longer a registered financial advisor and licensed by the SEC. I am now just a blogger who enjoys writing about stocks and making money online. You should always seek a professional financial advisor for advice on investing and any stock you are considering. Remember that investing is inherently risky and you could lose all of your money. I am also an affiliate of some of the items discussed on this site. In other words, I may be paid for people buying stuff off of this site and the links on here as well. This is how I am able to keep the site up and running.