Why is Biotech Stock iBio Up over 50%?

Shares of Texas-based biotech firm iBio (IBIO) have climbed as high as 50% over the past 24 hours. This follows a 39.17% gain on Monday and an additional 13.77% rally in early Tuesday trading.TipRanks Cyber Monday Sale Claim 60% off TipRanks Premium for data-backed insights and research tools you need to invest with confidence. Subscribe to TipRanks' Smart Investor Picks and see our data in action through our high-performing model portfolio - now also 60% off But why is the stock rising? The rally appears to have been from iBio's presentation at the 8th annual health conference by investment banking advisory firm Everecore that ended on Thursday. Is Obesity Drug IBIO-610 Fueling the Rally? At the conference, iBio showed how it is using techniques powered by artificial intelligence to improve antibody-based treatment of diseases. Antibodies are proteins made by the body's immune system to fight "foreign" actors such as bacteria and viruses. Specifically, the rally is likely due to iBio's presentation of early data on IBIO-610, its experimental antibody drug that targets a liver hormone called Activin E to treat obesity and other diseases that affect the heart, blood vessels, and metabolism. iBio Highlights Results from Trial among Obese Monkeys Ahead of the conference, iBio said Martin Brenner, its chief executive, would highlight the company's current efforts to advance its next-generation obesity drug portfolio into clinical trials. Brenner is to emphasize the promising results from the biotech's non-human primate study for IBIO-610. In late October, iBio said its preclinical study of the experimental drug among obese monkeys indicated that the medication might last up to about 100 days in humans. This means that the drug might need to be given only about twice a year if it works in humans. Currently, Eli Lilly's (LLY) Mounjaro and Novo Nordisk's (NVO) Wegovy are among the two most popular weight-loss drugs and are given as once-weekly injections. Obesity Trials Results Cheer Wall Street The rally in IBIO stock comes as shares in U.S. biotech companies, Wave Life Sciences (WVE) and Structure Therapeutics (GPCR), skyrocketed on Monday by over 147% and 102%, respectively, following the latest results from their obesity drug trials. Is IBIO Stock a Good Buy? As a penny stock, IBIO stock has limited coverage by Wall Street analysts. The shares presently have a Strong Buy consensus rating based on three Buys issued by analysts over the last three months. The average IBIO price target implies approximately 180% upside from the current trading levels.