## Biotech Rally Continues: TELA and Peers Gain Traction on Mixed Earnings and FDA Progress

The biotech sector showed mixed momentum in Monday's after-hours session, with several therapeutic companies catching investor attention through a combination of earnings surprises, improved financial metrics, and regulatory tailwinds.

**The Standouts: Who Moved the Most**

Inotiv Inc. (NOTV) staged the most dramatic turnaround of the session, rocketing 36.61% after hours to $0.94, despite closing down 33.20% during regular trading. The sharp recovery came on the heels of the company's fourth-quarter and full-year 2025 preliminary results, which pointed to Q4 revenue guidance of $137.5-$138.5 million and full-year projections hitting $512.5-$513.5 million. This suggests investors viewed the intraday selloff as an overreaction, triggering a substantial rebound.

Applied Therapeutics Inc. (APLT) extended its gains into after-hours, climbing an additional 16.89% to $0.33 on top of a 30.19% jump at close. While no new catalyst emerged Monday, the stock's strength appears tethered to the company's November 13 earnings release, which demonstrated significant operational progress—Q3 net loss narrowed to $19.0 million ($0.13 per share) versus a $68.6 million loss ($0.48 per share) year-over-year.

**Balanced Growth Among Mid-Tier Players**

TELA Bio, Inc. (TELA) posted a 7.89% after-hours gain to $1.23, building on a robust 14.08% close-of-day advance. The biotech company's November 13 earnings presented a compelling narrative: Q3 net loss contracted to $8.6 million from $10.4 million a year prior, while revenue expanded 9% to $20.7 million. Perhaps more significantly, TELA revised its 2025 guidance upward, now expecting at least 16% revenue growth compared to 2024 levels. To fund its operations and growth initiatives, TELA simultaneously announced a $13.0 million registered direct offering slated to close November 17—a capital raise that should provide runway for its commercialization efforts.

Alumis Inc. (ALMS) added 7.09% after-hours to $5.97, following a modest 1% close-day performance. While the company reported a wider Q3 net loss of $110.8 million versus $93.1 million last year, investors appeared reassured by $2.1 million in collaboration revenue tied to its licensing arrangement with Kaken Pharmaceutical Co., Ltd. This partnership income may have signaled to the market that the company's strategic collaborations are beginning to generate material returns.

**Regulatory Wins and Steady Performers**

BioRestorative Therapies Inc. (BRTX) surged 8.06% after hours to $1.34, rebounding sharply from a 6.77% intraday decline. The catalyst was concrete: BRTX secured a Type B meeting with the U.S. Food and Drug Administration scheduled for mid-December to explore an accelerated Biologics License Application pathway for BRTX-100, its Fast-Track-Designated program targeting chronic lumbar disc disease. FDA pathway acceleration represents a material de-risking event that clearly resonated with participants.

Corcept Therapeutics Inc. (CORT) gained 4.90% after hours to $78.80, reversing a minor close-session dip. Without fresh company-specific announcements on Monday, the move likely reflects sustained institutional appetite for the stock's therapeutic pipeline.

**What This Rally Tells Us**

Monday's biotech after-hours moves reflect a market reassessing risk across the sector through the lens of earnings quality, capital efficiency, and regulatory progress. Companies demonstrating narrower losses, revenue expansion, and strategic partnerships or FDA tailwinds are finding buyers, while those facing margin pressures must navigate more skeptical sentiment. The diversity of catalysts—from guidance improvements to direct offerings to FDA meetings—underscores that the biotech sector remains highly event-driven, rewarding companies that can articulate clear pathways to profitability and clinical validation.

*Disclaimer: The views and opinions expressed herein are those of the author and do not necessarily reflect those of Nasdaq, Inc.*