Relmada Therapeutics Soars 30% on Breakthrough Trial Data and Insider Buying—Is This the Start of a Biotech Breakout?

Summary
• Relmada Therapeutics (RLMD) surges 30.34% intraday to $1.46, defying a 1.2% biotech sector decline.
• CMO Raj Pruthi buys 55,000 shares in open market, signaling conviction in NDV-01’s 91% response rate.
• Options frenzy: 215% implied volatility on $1.5 strike calls, 178% on puts, as short-term bulls and bears clash.
• RLMD’s 184% YTD surge outpaces S&P 500’s 8.7% gain, but 52W high of $3.98 remains a distant target.

Relmada Therapeutics is scripting a high-stakes drama in biotech’s volatile arena. A 30% intraday rally, driven by insider buying and Phase 2 NDV-01 data, has ignited a frenzy in options markets. With the stock trading at $1.46—well above its 52W low of $0.24—the question looms: Is this a fleeting surge or the start of a breakout?

NDV-01’s 91% Response Rate and CMO’s $1.5M Buy Signal Institutional Conviction
Relmada’s 30% surge stems from two catalysts: a 91% overall response rate in its Phase 2 NDV-01 bladder cancer trial and insider buying by Chief Medical Officer Raj Pruthi. The six-month follow-up data, announced in August, showed durable responses in non-muscle invasive bladder cancer (NMIBC) patients, with no dose-limiting toxicities. Pruthi’s purchase of 55,000 shares—valued at ~$1.5M at current prices—signals institutional confidence in the pipeline. The stock’s intraday high of $1.52 (just $0.40 below its 52W high) reflects optimism about a potential Phase 3 trial in H1 2026.

Biotech Sector Sinks as RLMD Defies Gravity
While the biotech sector, led by Amgen (AMGN -0.52%), drifted lower, RLMD’s 30% surge underscored its divergence. The Nasdaq Biotechnology Index (-1.2%) struggled amid broader market jitters, but RLMD’s momentum highlights its unique catalysts. Unlike peers focused on AI-driven drug discovery or gene editing, RLMD’s near-term focus on NDV-01’s bladder cancer potential and sepranolone’s Prader-Willi Syndrome trials positions it as a high-conviction, low-liquidity play.

Options Volatility and ETFs: Navigating RLMD’s High-Risk, High-Reward Play
• Technical Indicators:
- 200-day average: $0.67 (below current price of $1.46)
- RSI: 89.19 (overbought territory)
- MACD: 0.054 (bullish divergence)
- Bollinger Bands: Price at $1.46 vs. upper band of $0.888 (overextended)

RLMD’s short-term bullish trend clashes with a long-term ranging pattern. Key support at $1.06 (intraday low) and resistance at $1.52 (intraday high) define a tight trading range. With 16.06% turnover rate and a -0.91x P/E ratio, the stock remains speculative but shows signs of institutional accumulation. No leveraged ETFs are available, but options offer high-leverage exposure.

Top Options Picks:
1. RLMD20250919C1.5 (Call Option):
- Strike: $1.5, Expiry: 2025-09-19
- IV: 215.38% (extreme volatility)
- Delta: 0.56 (moderate sensitivity)
- Theta: -0.008855 (rapid time decay)
- Gamma: 0.572 (high sensitivity to price swings)
- Turnover: 6,286 shares
- Leverage Ratio: 5.76%
- Why it stands out: This call option offers explosive potential if RLMD breaks above $1.5. A 5% upside to $1.59 would yield a payoff of $0.09 per share (max(0, 1.59 - 1.5)). High gamma and IV make it ideal for short-term volatility.

2. RLMD20250919P1.5 (Put Option):
- Strike: $1.5, Expiry: 2025-09-19
- IV: 178.32% (elevated volatility)
- Delta: -0.46 (moderate bearish exposure)
- Theta: -0.004120 (slower decay)
- Gamma: 0.696 (extreme sensitivity)
- Turnover: 1,959 shares
- Leverage Ratio: 5.54%
- Why it stands out: This put offers downside protection if RLMD reverts to its 52W low of $0.24. A 5% downside to $1.44 would yield $0.06 per share (max(0, 1.5 - 1.44)). High gamma and IV make it a hedge against overbought RSI levels.

Trading Opinion: Aggressive bulls should target RLMD20250919C1.5 for a breakout above $1.5. Cautious investors may pair it with RLMD20250919P1.5 to cap risk. If $1.52 holds, RLMD could test its 52W high of $3.98—though that would require a 222% move from current levels.

Backtest Relmada Therapeutics Stock Performance

RLMD’s 30% Surge: A Catalyst-Driven Bet on Biotech’s High-Stakes Edge
Relmada’s 30% intraday surge is a high-stakes play on NDV-01’s 91% response rate and insider buying. While the stock’s RSI of 89.19 suggests overbought conditions, the options frenzy—215% IV on calls and 178% on puts—indicates a battle between bulls and bears. The key to sustainability lies in the September 19 expiry of $1.5 strike options and the September follow-up data for NDV-01. Watch for a breakdown below $1.06 (intraday low) or a breakout above $1.52 (intraday high). Meanwhile, biotech sector leader Amgen (AMGN -0.52%) offers a contrasting narrative of caution. For RLMD, the next 30 days will define whether this is a fleeting spike or the start of a biotech breakout.