Celldex Therapeutics: The Beginning of the Firm’s Resurrection

Celldex Therapeutics

A few years ago Celldex Therapeutics (CLDX) was known for its superior pipeline products. The most promising product in the firm’s pipeline was Celldex’s lead drug designed to treat the untreatable terrible brain cancer known as glioblastoma multiforme. What excited oncologists and investors at the time were the successful results coming out from early- and mid-phase clinical trials. Then, all of a sudden, unexpected by many professionals and investors, the product failed a late Phase trial and as always a huge selloff of CLDX destroyed the firm’s value, paralyzing its capability of developing the rest of its pipeline, for a long time.       

We, however, chose not to condemn Celldex but instead put it in our Aggressive Table #7 in the Prohost Portfolio, together with companies with strong scientific fundamentals that had faced similar bad circumstances like Celldex.

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