Reuters reported on Monday that shares of GW Pharmaceuticals (NASDAQ:GWPH) more than doubled in value on Monday after the company released promising test results for an experimental marijuana drug.
As quoted in the publication:
Following positive results in the first Phase 3 study of its investigational medicine Epidiolex, GW Pharma’s stock popped by 139 percent intraday. While GW Pharma grows marijuana, it only extracts a non psychoactive component of the plant called CBD.
The experimental cannabis-based drug has successfully treated children with a rare form of severe epilepsy in a keenly anticipated clinical trial. Analysts, on average, believe the drug could generate annual sales of $1.1 billion by 2021, according to consensus forecasts compiled by Thomson Reuters Cortellis.