Shares of Ocugen (NASDAQ:OCGN) stock have been on the move today. Following a surge of more than 3% this morning, shares of OCGN stock have since settled down to an almost flat gain of 0.2%. However, there are reasons for optimism around this beaten-down biotech stock today.
Investors are honing in on an announcement this morning that Ocugen has put forward a business advisory board. Notably, former U.S. Senator Pat Toomey will be joining the board. His previous work on tax reform and various finance committees could assist Ocugen in better understanding the political environment as the company looks to continue to develop and commercialize its multiple vaccines and cell therapies.
Other notable advisory members include Ambassador Joseph W. Westphal and Dennis Carey.
Ocugen’s CEO and co-founder, Dr. Shankar Musunuri, commented on the additions:
“At this stage in the Company’s growth, it is critical to foster collaborations—among industry and with government agencies — to continue driving our clinical programs and maximizing value for our shareholders and patients. The Business Advisory Board will provide new insight to our business strategy, while expanding our reach to execute the strategy.”
Let’s dive into what investors may want to make of this news.
OCGN Stock Moving Higher on Advisory Board Announcement
Ocugen’s goal of becoming a leader in vaccines, as well as cell and gene therapies, is one that many growth investors jumped on during the post-pandemic surge with many Covid-related vaccine stocks. A company that never really got off the ground with its Covid-19 vaccine, co-developed by Indian biotech company Bharat Biotech, Ocugen has struggled to see any sort of momentum in recent years, as the window of opportunity on this front appears to have closed.
The company hopes to bring its various technologies to other key drugs, focusing on a range of ocular disorders and other illnesses. If the company can execute on its near- and long-term vision, perhaps there’s some real speculative value to buying into these shares. OCGN stock has been among the most beaten-down biotech names since going public, losing most of its value due to share price dilution and a lack of momentum.
It’s unclear to me whether this advisory board will be the kick in the pants the company needs to survive and thrive. We’ll see. In any case, it’s a step in the right direction, and I think the market is correct to cheer this move. This is a stock I’ll keep on the watch list and provide key updates on moving forward.
On the date of publication, Chris MacDonald did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.
