1. Guardant Health's Guardant360 CDx approved by FDA as a companion diagnostic. 2. Approval targets advanced breast cancer patients with ESR1 mutations.
This FDA approval enhances Guardant Health's marketability and relevance in precision oncology, similar to the impact of FDA approvals for other diagnostic firms like Exact Sciences and NantHealth, which often result in positive stock movements.
FDA approvals are significant milestones that can validate a company's technology and drive investor confidence, leading to increased stock price volatility.
Short-term spikes in stock price are typical following FDA approvals due to heightened investor interest, as seen with companies like Myriad Genetics after similar news.