Evoke Pharma Inc. (EVOK) shares skyrocketed on Monday after the company unveiled encouraging data from a real-world retrospective study focusing on the impact of GIMOTI (metoclopramide nasal spray) in patients with diabetic gastroparesis (DGP) who are concurrently using GLP-1 receptor agonists. The study, which compared healthcare resource utilization (HRU) between patients using GIMOTI nasal metoclopramide (NMCP) and those on oral metoclopramide (OMCP), delivered positive results.
The key findings highlighted that patients with a prior GLP-1 prescription experienced a reduction in HRU after taking NMCP. Notably, patients using GLP-1 and NMCP had fewer healthcare visits compared to those taking OMCP. This suggests that NMCP effectively treats gastroparesis in patients already undergoing GLP-1 therapy, leading to significant cost savings within the healthcare system.
Evoke’s CEO, Matt D’Onofrio, expressed optimism about the findings, stating, “This data is particularly encouraging given the rising number of patients using GLP-1 agonists for diabetes, many of whom also suffer from gastroparesis. Our goal is to provide data regarding Gimoti as supportive care for diabetic gastroparesis for those also on GLP-1 agonists. This study, combined with the earlier real-world data presented at key conferences, reinforces GIMOTI’s potential to improve outcomes for patients and reduce the overall financial burden on the healthcare system.”
The company emphasized that these findings build upon previously presented data at Digestive Disease Week 2024 and ACG 2023, which demonstrated that patients treated with GIMOTI showed fewer hospitalizations, emergency department visits, and physician office visits compared to those using oral metoclopramide.
Evoke Pharma’s average session volume over the past 100 days is approximately 72,000, according to Benzinga Pro. However, Monday’s trading volume surged to around 8.16 million at the time of writing. It’s important to note that Evoke is considered a low-float stock with approximately 727,000 shares available for public trading, making it susceptible to significant volatility. The company also had a market cap of less than $4 million as of Friday’s close.
The dramatic price action of EVOK on Monday, with shares up a staggering 128.1% to $12.09 at the time of publication, is likely a result of the positive study data and the inherent volatility associated with low-float, micro-cap stocks.
