Why Shares of Apollomics Soared in March
Shares of clinical-stage biotech company Apollomics (NASDAQ: APLM) rose 130.9% in March, according to data provided by S&P Global Market Intelligence. The healthcare stock closed February at $10.48 a share then rose to as high as $49 on March 30, the first day that it listed on the Nasdaq. The company focuses on immune system-derived therapies to treat a multitude of cancers, particularly lung cancer, brain cancer, acute myeloid leukemia (AML), and other solid-tumor cancers.
The stock's surge is misleading as it just went public via a special purpose acquisition company (SPAC) merger with Maxpro Capital Acquisition Corp. on March 30. So, the rise is compared to Maxpro's stock price. However, Apollomics did jump 172% on its first day on the NASDAQ. As of April 6, though, it had fallen back down to $13.22 a share.
SPAC stocks have not done well in 2023, with the Federal Reserve's rate hikes cited as a contributing factor in declining shares for growth companies.
Source Fool.com
