5 Biotech Penny Stocks with Growth Catalysts

3. Sorrento Therapeutics, Inc. (NASDAQ:SRNE)

Number of Hedge Fund Holders: 12

Share Price as of April 5: $2.24

Sorrento Therapeutics, Inc. (NASDAQ:SRNE) is a clinical stage and commercial biotechnology company that develops novel therapies for cancer, autoimmune, inflammatory, viral, and neurodegenerative diseases. The company was founded in 2006 and is based in San Diego, California.

Sorrento Therapeutics, Inc. (NASDAQ:SRNE) announced on March 31 that the FDA has cleared the commencement of the Phase 3 clinical trial of Abivertinib in severe COVID-19 patients. Sorrento Therapeutics, Inc. (NASDAQ:SRNE) published preliminary results of two phase 2 studies that showed patients suffering from severe pneumonia due to COVID-19, especially those needing non-invasive ventilation or high flow oxygen supplementation, were five times more likely to benefit from Abivertinib therapy than the ones who needed low flow supplementation. The study will be conducted at multiple sites in the United States, Mexico, and Brazil. This will be an important growth catalyst for Sorrento Therapeutics, Inc. (NASDAQ:SRNE) upon conclusion. 

According to Insider Monkey’s fourth quarter database, 12 hedge funds were bullish on Sorrento Therapeutics, Inc. (NASDAQ:SRNE), compared to 10 funds in the earlier quarter. D E Shaw held a significant stake in the company, with 2.4 million shares worth $11.3 million.