Our Stock of the Week is Cullinan Therapeutics (CGEM). Cullinan is a clinical-stage biopharmaceutical company developing therapies across autoimmune diseases and cancer, with a pipeline that has matured materially over the past year. Its lead autoimmune candidate, CLN-978, is being developed for lupus and rheumatoid arthritis, while its oncology programs include CLN-049 for acute myeloid leukemia, and zipalertinib, for non-small cell lung cancer. CGEM has cash and investments of roughly $393m, which give this name a runway into 2029.
Over the past 8 months, CGEM has developed a solid uptrend amid a steady sequence of catalysts. CGEM first hit traders’ radar screens on October 8th when a large institutional buyer disclosed a significant stake and the company offered positive zipalertinib data at the World Conference on Lung Cancer. Shares surged again in late November on the company’s Q3 update, which highlighted encouraging CLN-049 data and progress on the zipalertinib rolling NDA. After spending the next couple of months forming an ascending triangle, the stock broke out in late February as the company completed its zipalertinib NDA submission, which the FDA later formally accepted with a PDUFA target action date of February 27, 2027.
Technically, CGEM has spent the past several months basing at highs ahead of its next potential catalyst on June 10, when the company will present new and updated clinical data for CLN-978 in lupus and rheumatoid arthritis for analysts and institutional investors. Notably, though, the company will release the underlying data at the EULAR Congress on June 6th. On Friday, shares pushed towards lateral resistance around $16.50 and could be building cause for a move ahead of the data. As always, we will not chase any early strength on Monday morning, but will look to aggressively trade the stock as the chart develops.
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This post is for educational purposes only! This is not advice or a recommendation. We do not give investment advice. Do not act on this post. Do not buy, sell, or trade the stocks mentioned herein. We WILL actively trade this stock differently than discussed herein. We will sell into strength and buy or sell at any time for any reason. We will actively trade into any unusual activity. At the time of this post, principals, employees, and affiliates of Shark Investing, Inc. and/or principals, clients, employees, and affiliates of Hammerhead Financial Strategies, LLC, directly or indirectly, controlled investment and/or trading accounts containing positions in CGEM at the time this was published. To accommodate the objectives of these investing and/or trading accounts, the trading in these shares will be contrary to and/or inconsistent with the information contained in this posting.
