Shares of InMed Pharmaceuticals Inc. rocketed 50.9% on very heavy volume in midday trading Wednesday, after the company said it was awarded a grant from the Natural Sciences and Engineering Research Council of Canada (NSERC) to support research and development of its cannabinoid drug candidates for the potential treatment of neurodegenerative diseases, such as Alzheimer's, Parkinson's and Huntington's. Trading volume spiked to 19.5 million shares, compared with the full-day average of about 148,200 shares. The company said it has identified two cannabinoid analogs, which the company said are novel cannabinoid compounds that are modified from naturally occurring cannabinoids, that have demonstrated "positive effects" in treating neurodegenerative diseases, to warrant further investigation. "InMed will be conducting studies using in vivo models in neurodegenerative disease to select the most appropriate candidate for clinical studies," InMed said in a statement. "Early preclinical efficacy readout is expected in 2Q 2023." Despite Wednesday's rally, InMed's stock, which closed at a record low of $2.50 on Nov. 4, has still plunged 55.9% over the past three months while the Russell 2000 Index of small capitalization stocks has declined 7.9% and the S&P 500 has lost 7.8%.
Market Pulse Stories are Rapid-fire, short news bursts on stocks and markets as they move. Visit MarketWatch.com for more information on this news.
>>> Read the full story at MarketWatch.com - MarketPulse