Shares of Sellas Life Sciences hit their highest level in over five years on Monday as retail traders showed strong confidence ahead of the company's closely watched acute myeloid leukemia trial readout. The stock jumped 25% on Monday to close at $15.45, extending its winning streak to eight sessions. A Stocktwits poll showed that 74% of about 3,600 voters expect the stock to reach $25 or higher within 12 months, while the company's Phase 3 Regal trial in AML has reached 78 of the 80 events needed for final analysis.
Stocktwits Poll Shows 74% of Voters Expect $25 Target
In a Stocktwits retail poll asking traders for their 12-month price target, 74% of users said that they expected the stock to hit $25 or higher, implying at least over a 60% upside from current levels. The poll had drawn about 3,600 votes at the time of writing, with 10% expecting the stock to trade in the range of $20 to $24.99, 7% seeing $15 to $19.99 range and only 9% forecasting a level below $15.
Sentiment on Stocktwits for SLS has jumped to 'extremely bullish' from 'bullish' levels a week ago amid a 600% surge in message volumes over the past 24 hours. The ticker's watcher base has also risen 3.2% in a month, indicating steady growth of retail interest in the stock.
Phase 3 Regal Trial Reaches 78 of 80 Required Events
At the center of the bullish case is Sellas' Phase 3 Regal trial of GPS, or galinpepimut-S, in AML. The study has reached 78 of the 80 events required to trigger its final analysis.
CEO Angelos Stergiou has called the slower-than-expected event accumulation an encouraging sign. "Crucially, the delay in reaching this 80th event is a profoundly positive signal---it suggests patients are living longer than projected. GPS has the potential to become the true standard of care in AML maintenance," he said in a LinkedIn post recently. Sellas has previously said that the trial would be considered successful if GPS extends median overall survival to 12.6 months from 8 months under standard treatment.
Beyond Regal, investors are also watching SLS009, Sellas' Phase 2 CDK9 inhibitor for AML. The company expects topline data from its frontline AML trial later this year.
Sellas Market Cap Grows to $1.5 Billion as Governance Updates Fuel Speculation
Stergiou recently noted that Sellas' market cap had grown from $73 million at the start of 2024 to more than $1.5 billion by mid-2026. The company ended the first quarter with $107.1 million in cash and raised another $28.7 million through warrant exercises in April and May.
Shareholders recently approved a 20 million-share increase to Sellas' 2023 Equity Incentive Plan, while Stergiou was awarded 1.065 million restricted stock units that vest over four years, bringing his ownership to 1.76 million shares after the grant.
Sellas also updated executive severance and change-of-control arrangements. Stergiou's amended agreement shifts certain change-of-control severance payments to a lump sum, while CFO John Burns and chief development officer Dragan Cicic would receive 15 months of base salary, target bonus payments, COBRA reimbursement and full equity acceleration under qualifying change-of-control terminations.
SLS stock has surged 692% over the past year.
FAQ
What did Sellas Life Sciences stock do on Monday?
SLS stock jumped 25% on Monday to close at $15.45, hitting its highest level in over five years and extending its winning streak to eight sessions.
Why are retail traders bullish on SLS stock?
Retail traders are focused on the Phase 3 Regal trial in AML, which has reached 78 of the 80 events needed for final analysis. A Stocktwits poll showed that 74% of about 3,600 voters expect SLS to reach $25 or higher within 12 months.
How much cash does Sellas Life Sciences have?
The company ended the first quarter with $107.1 million in cash and raised another $28.7 million through warrant exercises in April and May.
