MicroMarvel is a series of articles highlighting undercovered stocks with less than a billion dollars in Market Capitalization. These articles are not intended to be buy recommendations. They highlight stocks that may have limited trading volume and may be highly volatile, so if you do decide to add them to your portfolio I highly recommend you use stop losses and limit orders.

Photo by Yiorgos Ntrahas on Unsplash
 

Today's MicroMarvel is the biotechnology company Fusion Pharmaceuticals (FUSN). I found the stock by using Barchart's screening functions to find stocks with the highest technical buy signals, highest Weighted Alpha, superior current momentum, and having a Trend Seeker buy signal, then used the Flipchart feature to review the charts for consistent price appreciation. Since the Trend Seeker signaled a buy on 12/14 the stock gained 94.73%.

FUSN Price vs Daily Moving Averages (Barchart)

Fusion Pharmaceuticals Inc., a clinical-stage oncology company, focuses on developing radiopharmaceuticals as precision medicines in Canada and the United States. Its lead product candidates include FPI-2265 which is in Phase 2 clinical trial to treat prostate-specific membrane antigens; and FPI-1434 which is in Phase 1 clinical trial as a monotherapy in patients with solid tumors expressing insulin-like growth factor 1 receptor. The company also conducting additional preclinical studies of FPI-1434 in combination with approved checkpoint inhibitors and DNA damage response inhibitors to further assess the anti-tumor activity, dosing schedule, and pharmacodynamics of the combinations. In addition, it develops FPI-1966 for the treatment of multiple cancers, including colorectal, ovarian, bladder, and head and neck cancers. The company has a strategic collaboration agreement with AstraZeneca UK Limited to discover, develop, and commercialize alpha-emitting radiopharmaceuticals and combination therapies for the treatment of cancer. Fusion Pharmaceuticals Inc. was incorporated in 2014 and is headquartered in Hamilton, Canada. 

Barchart Technical Indicators:

• 100% technical buy signals
• 102.26+ Weighted Alpha
• 219.70% gain in the last year
• Trend Seeker buy signal
• Above its 20, 50, and 100-day moving averages
• 14 new highs and up 28.34% in the last month
• Relative Strength Index 61.62%
• Technical support level at $10.28
• Recently traded at $10.70 with a 50-day moving average of $7.91
   

Fundamental Factors:

• Market Cap $767 million
• Wall Street analysts are projecting Revenue will grow 52.60% this year and be down by 75.70% the next year
• Earnings are estimated to increase 28.50% this year, and an additional 3.50% next year 

Analysts and Investor Sentiment -- I don't buy stocks just because everyone else is buying, but I do realize that if major firms and investors are dumping a stock it's hard to make money swimming against the tide:

• Wall Street analysts issued 11 strong buy, and 2 buy  recommendations this month
• Their price targets are $10 to $20 with a consensus of 14.50 for a 33.00% gain
• Value Line rates the stock an above average 2
• CFRAs MarketScope rates the stock a buy
• 1,760 investors monitor the stock on Seeking Alpha

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