The Rhythm Biosciences Ltd (ASX: RHY) share price roared over 12% higher yesterday to close at $1.18. Over the past six-month period, the Rhythm Biosciences share price has thundered over a staggering 1,300%.
Rhythm Biosciences share price hits record high
Just over a week ago, the Rhythm Biosciences share price hit a record high. This gain was following two positive December announcements. The first announcement related to the company appointing a manufacturer for its ColoSTAT product.
ColoSTAT is a minimally invasive blood test that supports the early detection of bowel cancer. Colorectal cancer is presently the second biggest cause of cancer death in the world and continues to grow.
The second announcement also pertained to ColoSTAT, this time in the shape of a US patent grant. Expansion into the US market resulted in the Rhythm Biosciences technology being accessible to nearly 800 million people worldwide.
During 2020, the Rhythm Biosciences share price rocketed over 640%. The company's current market cap is $210.6 million.
The ColoSTAT technology
The Rhythm Biosciences ColoSTAT technology is being developed as an alternative screening option for people who do not elect to participate in presently available screening options for personal, cultural, or clinical reasons.
According to Rhythm Biosciences, the technology behind this new blood test is designed to be cost effective, minimally invasive, easily run by laboratories and comparable, if not better, than current tests that are purposed to detect early stage colorectal cancer.
Rhythm Biosciences believes that its technology has the potential to save both lives as well as public health costs.
A global market focus
In response to the December approval of the US patent grant for ColoSTAT, Rhythm Biosciences had the following to say about the opportunity presented:
The US represents one of the largest diagnostic markets in the world. The addition of a US patent sees Rhythm expand its global footprint and ultimately, access to a global addressable screening market of close to 800 million people.
In the US, the current 50-74-year-old screening eligible population is approximately 94 million people. This market could grow in the short term by a further 21%, following the US Preventative Services Task Force recommendation that the colorectal cancer screening age be reduced, beginning at 45 years. As a result, where the expansion in the screening age group occurs in other markets, it is expected that the current global addressable market will also increase considerably.
