Replimune Group (REPL) soars 17.45% on FDA BLA submission

Replimune Group (REPL) shares surged 1.86% today, marking the third consecutive day of gains, with a cumulative increase of 17.45% over the past three days. The stock price reached its highest level since March 2025, with an intraday gain of 4.83%.

The strategy of buying REPL shares after they reached a recent high and holding for 1 week yielded moderate returns but came with considerable volatility and risk. The 5-year backtest shows a total of 2.5 days of gains, 35.5 days of losses, and 21.5 days of breaks even, totaling 59 days of interest with a 20.5% return on investment (ROI), 0.41 in Sharpe ratio, and 1.47 in Sortino ratio, indicating market-matching returns with considerable risk.

The recent surge in Replimune Group's stock price can be attributed to significant developments in the company's regulatory progress. The submission of a biologics license application (BLA) for new treatments for advanced melanoma to the FDA has been a key driver. This submission has generated positive investor sentiment, reflecting the potential for new treatment options and advancements in the company's pipeline.

Investors have responded favorably to these developments, as evidenced by the notable increase in the stock price. The progress with the FDA is seen as a critical milestone, indicating the company's commitment to innovation and its potential to bring groundbreaking treatments to market. This has bolstered investor confidence and contributed to the recent upward trend in the stock.

Overall, the positive regulatory developments and the potential for new treatment options have positioned Replimune Group as a promising player in the biotechnology sector. As the company continues to make strides in its regulatory submissions and clinical trials, investors are likely to remain optimistic about its future prospects.