Evaluation of Morphosys shares: Current developments and potential for investors

Evaluation of Morphosys shares: Current developments and potential for investors

According to a report by www.deraktionaer.de,

The shares of the biotech company Morphosys continue to rise and build on the previous day's gains. With an increase of around ten percent, the stock is once again at the top of the SDAX. This may be mainly due to short covering as there is no new impetus from companies or analysts.

According to the Federal Gazette, there is still interest from short sellers in Morphosys shares. However, some short sellers have already retreated in recent weeks, while others such as Marshall Wace, Qube Research and Capital Fund Management remain short. Regardless of the short sellers' activities, developments surrounding pelabresib, a drug used to treat myelofibrosis, remain crucial to the stock's medium to long-term performance.

Morphosys has secured access to the substance through the acquisition of Constellation Pharmaceuticals and plans to bring the BET inhibitor to the stage of approval. The short sellers have no influence on the upcoming approval process, which depends on the respective approval authorities. Investors should therefore prepare for high volatility.

The short-term increase in Morphosys' share price gains from shorting may result in temporary stability and possibly an overall upward movement in the share price. However, the long-term performance of the stock may depend heavily on the successes or failures of Pelabresib's approval process. Short-seller activity may cause temporary fluctuations, but ultimately fundamental market developments and new product approvals are critical to the company's long-term performance.