Sangamo Therapeutics Retail Traders Keep The Faith Even As Stock Slides After-Hours On Q4 Miss

Several optimistic users expressed confidence in the company securing a third potential agreement with a major pharma for its adeno-associated virus (AAV) capsid, STAC-BBB.

Shares of clinical-stage biotech firm Sangamo Therapeutics Inc. fell nearly 3% in Monday's after-hours trading following disappointing quarterly earnings, but retail investors held their bullish ground.

Sangamo reported a fourth-quarter adjusted loss per share of $0.11, narrowing significantly from a loss of $0.34 a year earlier. However, this was worse than Wall Street's expected $0.09 per share loss.

Revenue of $7.6 million also fell short of the consensus estimate of $11.7 million. 

CEO Sandy Macrae emphasized the company's progress over the past year, notably securing FDA approval for clinical trials of ST-503, a potential treatment for idiopathic small fiber neuropathy (iSFN).

"We believe our neurology pipeline represents important potential value. In addition, we continue to engage in Fabry business development negotiations, in an effort to capitalize the business for the future," he said.

Macrae added that 2025 will be a pivotal year, with plans to begin patient enrollment and dosing for the iSFN clinical study by midyear. 

The company also aims to submit a Biologics License Application (BLA) for its Fabry disease program in the second half of the year.

On Stocktwits, sentiment for Sangamo ended Monday on an 'extremely bullish' note, with message volume exploding by 1200% from a day earlier.

Several optimistic users expressed confidence in Macrae's remarks about securing a third potential agreement with a major pharmaceutical company for its adeno-associated virus (AAV) capsid, STAC-BBB. The technology is designed to enhance the delivery of intravenously administered genomic medicines for specific neurological conditions.

Sangamo has already licensed STAC-BBB to Roche's Genentech and Astellas Pharma.

Sangamo has been under pressure since December, when Pfizer ended a hemophilia drug development partnership, citing slow patient uptake for such therapies.

Shares of the company have shed only about 1% this year but are up 20% over the past 12 months.

According to Koyfin, five out of eight analysts covering the stock rate it 'buy' or 'strong buy', while the rest recommend 'hold'.

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