Here's What Lifted bluebird bio Inc. Stock 40% Higher in August

Here's What Lifted bluebird bio Inc. Stock 40% Higher in August

Shares of bluebird bio Inc. (NASDAQ: BLUE), a clinical-stage biotech developing cell-based therapies, soared 40% in August, according to data from S&P Global Market Intelligence. A generous takeover offer for an industry peer and an FDA approval for another treatment boosted the market's confidence for bluebird's pipeline.

Bluebird bio's development pipeline is full of experimental therapies that involve modifying a patient's own cells before reintroducing them. Last month, Gilead Sciences (NASDAQ: GILD) shook up the industry with an $11.9 billion buyout offer for Kite Pharma (NASDAQ: KITE), another clinical-stage biotech developing cell-based therapies similar to those in bluebird bio's pipeline. Gilead is notorious for both success and prudence when it makes big purchases, which is why announcing a deal for Kite provided a big lift for related stocks.

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Source: Fool.com