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Precigen Stock Surges as FDA Approves Papzimeos Drug

Bryce TuoheyAvatar
Written by Bryce Tuohey Reviewed by Tim Sykes Fact-checked by Matt Monaco
Updated 8/17/2025, 12:42 pm ET 8/17/2025, 12:42 pm ET | 5 min 5 min read
Precigen Stock Surges as FDA Approves Papzimeos Drug Thumbnail

Precigen Inc.’s stocks have been trading up by 54.59 percent, driven by positive sentiment from promising research advancements.

Healthcare industry expert:

Analyst sentiment – positive

Precigen (PGEN) is currently in a challenging market position with severe profitability issues, as evidenced by its extraordinarily negative margins and declining revenue over recent years. Its EBIT margin is -3575.6%, and the EBITDA margin is -3501.1%, reflecting substantial operational inefficiencies. The company’s revenue has dropped by 67.87% over the last three years, and the valuation metrics such as a price-to-sales ratio of 251.45 and a negative price-to-book of -23.82 indicate a significant disconnect between market valuation and fundamental performance. The balance sheet reveals a negative stockholders’ equity of -$36.78 million, signaling financial distress. With no positive cash flow prospects, as evidenced by a negative operating cash flow of -$18.97 million and negative free cash flow of -$19.94 million, Precigen’s fundamentals signal risk unless transformative events occur.

The technical analysis of Precigen’s stock shows a strong upward trend following the volatility observed in the last week of trading. The weekly price surged from $1.77 to close at $2.86 on the final listed day, indicating bullish momentum, presumably driven by recent realized catalysts. The increase from $1.77 to $2.86—where significant resistance likely exists—reflects robust investor sentiment. Traders can look for further bullish confirmation signals and consider $2.44 as a support level for potential entries. A comprehensive focus should be on volume patterns, as the temporary surge demands a breakout confirmation along these calculated levels.

The recent FDA approval of Papzimeos, an innovative treatment for recurrent respiratory papillomatosis (RRP), has been a major catalyst for Precigen. This approval not only boosts investor confidence, driving a 59% surge in share price but also removes a substantial regulatory hurdle. The news has positioned Precigen favorably against its benchmarks in Healthcare and Biotechnology sectors. Analysts have responded positively, with H.C. Wainwright raising their target to $8.50. However, concerns about cash reserves and dilution risks persist, necessitating prudent operational management. Precigen’s future hinges on leveraging Papzimeos’ market potential to stabilize financials and establish sustainable growth. A strategic focus on efficient cash management and product launch efficiencies will be crucial for long-term success.

Candlestick Chart

Weekly Update Aug 11 – Aug 15, 2025: On Sunday, August 17, 2025 Precigen Inc. stock [NASDAQ: PGEN] is trending up by 54.59%! Discover the key drivers behind this movement as well as our expert analysis in the detailed breakdown below.

Quick Financial Overview

The recent FDA approval has injected optimism into Precigen’s market value, reflected by a surge in its stock price to $2.86 on August 15, 2025, from a close of $1.77 just days prior. This represents a significant leap in investor confidence. Short-term chart data shows a strong upward trajectory, marking a decisive break away from a previous trading pattern. However, the company’s financials paint a more nuanced picture. Precigen’s key ratios, particularly in profitability, are disconcertingly negative, with margins at substantial losses. Meanwhile, their financial strength shows a relatively healthy liquidity, with a current ratio of 2.7 and a quick ratio slightly lower at 2.6, indicating an ability to cover current liabilities.

More Breaking News

Despite the stock’s bullish reaction, the income statement reveals an alarming net loss and negative EBITDA, pointing to continuing operational challenges. Moreover, revenue per share at $0.013 is low, reflecting a burdened value proposition. The company’s valuation metrics indicate poor price-to-book and sales ratios, complicating investor calculus about its intrinsic worth. One might anticipate that Papzimeos’ market adoption could help bridge some financial deficiencies given the potential revenue bumps from this strategic drug launch.

Conclusion

In summary, while Precigen celebrates a breakthrough with Papzimeos, the road ahead requires navigating existing financial entanglements. FDA approval has undoubtedly positioned the company on a promising trajectory, with heightened trader scrutiny and anticipation baked into soaring market activity. As millionaire penny stock trader and teacher Tim Sykes says, “There is always another play around the corner; don’t chase just because you feel FOMO.” This wisdom reminds traders to focus on strategic growth rather than being swayed by temporary hype. Sustained performance will likely hinge on successful commercialization strategies and consistent revenue conversion from Papzimeos’ formal market entry. As Precigen relishes this regulatory win, it must now focus on leveraging this newfound momentum to strengthen its sustainable financial footing and capitalize on those risk-mitigated opportunities in its expansive therapeutic pipeline.

This is stock news, not investment advice. Timothy Sykes News delivers real-time stock market news focused on key catalysts driving short-term price movements. Our content is tailored for active traders and investors seeking to capitalize on rapid price fluctuations, particularly in volatile sectors like penny stocks. Readers come to us for detailed coverage on earnings reports, mergers, FDA approvals, new contracts, and unusual trading volumes that can trigger significant short-term price action. Some users utilize our news to explain sudden stock movements, while others rely on it for diligent research into potential investment opportunities.

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Bryce Tuohey

Mentor and Trainer at StocksToTrade.com, Lead Mentor at Small Cap Rockets and To The Moon Report
Bryce’s first pattern was buying into strength in breakouts. But he noticed when they didn’t work, he took bigger losses. When the OTC market got hot, Bryce learned to dip buy the inevitable panics. He adapted his breakout strategy and now buys consolidation and trend breaks. His goal is to have better risk/reward and get an entry before multi-day listed breakouts.
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* Results are not typical and will vary from person to person. Making money trading stocks takes time, dedication, and hard work. There are inherent risks involved with investing in the stock market, including the loss of your investment. Past performance in the market is not indicative of future results. Any investment is at your own risk. See Terms of Service here

The available research on day trading suggests that most active traders lose money. Fees and overtrading are major contributors to these losses.

A 2000 study called “Trading is Hazardous to Your Wealth: The Common Stock Investment Performance of Individual Investors” evaluated 66,465 U.S. households that held stocks from 1991 to 1996. The households that traded most averaged an 11.4% annual return during a period where the overall market gained 17.9%. These lower returns were attributed to overconfidence.

A 2014 paper (revised 2019) titled “Learning Fast or Slow?” analyzed the complete transaction history of the Taiwan Stock Exchange between 1992 and 2006. It looked at the ongoing performance of day traders in this sample, and found that 97% of day traders can expect to lose money from trading, and more than 90% of all day trading volume can be traced to investors who predictably lose money. Additionally, it tied the behavior of gamblers and drivers who get more speeding tickets to overtrading, and cited studies showing that legalized gambling has an inverse effect on trading volume.

A 2019 research study (revised 2020) called “Day Trading for a Living?” observed 19,646 Brazilian futures contract traders who started day trading from 2013 to 2015, and recorded two years of their trading activity. The study authors found that 97% of traders with more than 300 days actively trading lost money, and only 1.1% earned more than the Brazilian minimum wage ($16 USD per day). They hypothesized that the greater returns shown in previous studies did not differentiate between frequent day traders and those who traded rarely, and that more frequent trading activity decreases the chance of profitability.

These studies show the wide variance of the available data on day trading profitability. One thing that seems clear from the research is that most day traders lose money .

Millionaire Media 66 W Flagler St. Ste. 900 Miami, FL 33130 United States (888) 878-3621 This is for information purposes only as Millionaire Media LLC nor Timothy Sykes is registered as a securities broker-dealer or an investment adviser. No information herein is intended as securities brokerage, investment, tax, accounting or legal advice, as an offer or solicitation of an offer to sell or buy, or as an endorsement, recommendation or sponsorship of any company, security or fund. Millionaire Media LLC and Timothy Sykes cannot and does not assess, verify or guarantee the adequacy, accuracy or completeness of any information, the suitability or profitability of any particular investment, or the potential value of any investment or informational source. The reader bears responsibility for his/her own investment research and decisions, should seek the advice of a qualified securities professional before making any investment, and investigate and fully understand any and all risks before investing. Millionaire Media LLC and Timothy Sykes in no way warrants the solvency, financial condition, or investment advisability of any of the securities mentioned in communications or websites. In addition, Millionaire Media LLC and Timothy Sykes accepts no liability whatsoever for any direct or consequential loss arising from any use of this information. This information is not intended to be used as the sole basis of any investment decision, nor should it be construed as advice designed to meet the investment needs of any particular investor. Past performance is not necessarily indicative of future returns.

Citations for Disclaimer

Barber, Brad M. and Odean, Terrance, Trading is Hazardous to Your Wealth: The Common Stock Investment Performance of Individual Investors. Available at SSRN: “Day Trading for a Living?”

Barber, Brad M. and Lee, Yi-Tsung and Liu, Yu-Jane and Odean, Terrance and Zhang, Ke, Learning Fast or Slow? (May 28, 2019). Forthcoming: Review of Asset Pricing Studies, Available at SSRN: “https://ssrn.com/abstract=2535636”

Chague, Fernando and De-Losso, Rodrigo and Giovannetti, Bruno, Day Trading for a Living? (June 11, 2020). Available at SSRN: “https://ssrn.com/abstract=3423101”