Despite a brief respite, the pot stock revival looks to still be on the cards.
Botanix Pharmaceuticals Ltd [ASX:BOT] was certainly making a strong case for it anyway, with the BOT share price surging 18.5% higher at time of writing, bringing the stock to prices not seen since 2019.
The reason for this strong surge? Antimicrobial data!
Getting published, gaining attention
As a strictly scientific pot stock, Botanix is all about research — looking to prove that cannabis has medicinal value.
And with today’s announcement, that is exactly what the company is trying to do.
Botanix was fortunate enough to get some of its research (antimicrobial data) published in an academic journal. Used in an article that explains how synthetic cannabidiol, or CBD, can kill certain bacteria. Including some nasty examples that are responsible for gonorrhoea, meningitis, and legionnaires’ disease.
Obviously, this kind of discovery is extremely promising, highlighting a novel use for the once demonised drug.
As Botanix’s President and Executive Chairman Vince Ippolito notes:
‘The published data clearly establishes Botanix as the world leader in characterising and exploiting the pharmaceutical potential of synthetic cannabinoids as antimicrobials — and vast potential for the development of novel and effective treatments. Congratulations to all the collaborators involved in this significant body of research.’
However, this is just the start of what may be a much longer journey. With this data merely a precursor for further study and development.
The real end goal is to prove whether a cannabis-based antimicrobial treatment is possible. Something that Botanix is working hard to turn into a reality.
What’s next for Botanix?
Thankfully, Botanix is pushing ahead as we speak.
Their Phase 2a study is finished and awaiting finalisation. With the company on track to release the findings sometime in Q1 of this year. Meaning that they should go public sometime before the end of March.
These results will almost certainly determine Botanix’s next move — with a favourable finding likely to lead to further development. And a poor result likely to send them back to the drawing board.
For investors though, this is nothing new. Few stocks carry the same speculative risk as a biotech pot stock…
So, if you’re looking for other, more direct pot stock investment avenues, we can help. Our latest report details our favourite pot stocks for 2021 and beyond. Including three companies primed for a potential bonanza right now.
To find out more about this cannabis craze, click here.
For Money Morning