The Race Oncology Ltd (ASX: RAC) share price has soared into the green this past month, and now trades at $3.50 apiece.
Whereas the S&P/ASX 200 Health Care Index (XHJ) has gained a paltry 0.85% in the last month of trading, Race Oncology shares have climbed over 19%.
Here’s why the Race Oncology share price has outpaced its benchmark lately.
What’s fuelling the Race Oncology share price higher?
Race Oncology’s shares have been on the move after two key updates in the company’s growth narrative.
Firstly, Race announced that the first patient had been enrolled in a Phase 1/2b trial investigating the company’s Zantrene label.
The trial is examining the effectiveness of Zantrene as a 3-drug therapy in a condition known as relapsed/refractory Acute Myeloid Leukaemia (AML).
AML is a hot research area at the moment, with several large pharmaceutical companies investing heavily into finding treatments and cures for the condition.
Race’s clinical trials are set to deliver outcomes in the coming months, after already demonstrating “compelling efficacy” of the Zantrene label in earlier studies.
Afterwards, the company released its annual report on August 26, where it outlined several investment highlights.
Being that Race Oncology is primarily concerned with the development of oncology drugs, it’s important to note progressions around this faction of the business.
Race entered into several pre-clinical collaborations over the last reporting period, each investigating Zantrene’s safety and efficacy in various cancers.
For instance, it has teamed up with researchers at the University of Newcastle to explore Zantrene as a novel treatment for renal cancer.
It also entered into another collaboration with Newcastle Uni to investigate Zantrene as a treatment for melanoma.
Aside from this, investors may be excited about Race’s “three pillar strategy” that it intends to act upon to achieve “contemporary use” of Zantrene.
Approval of Zantrene would be big news for the company, so it thinks.
Race Oncology share price snapshot
The Race Oncology share price has gained over 100% this year to date and has extended its climb over the past 12 months to 354%.
These results have far outpaced the S&P/ASX 200 index (ASX: XJO)’s return of around 25% over the past year.