Shares of biotechnology company Galecto, Inc. (GLTO) soared 632% in the pre-market session on Tuesday. The stock is on track to hit over two-year highs.

Galecto is focused on developing treatments for oncological and liver diseases. Its pipeline consists of drug candidates that target cancer and fibrosis signaling pathways, including GB1211 for the treatment of liver cirrhosis, GB1211 in combination with a checkpoint inhibitor for various oncology indications, and GB3226 for multiple genetic subsets of Acute Myeloid Leukemia (AML).

On Stocktwits, retail sentiment around GLTO stock rose from 'bearish' to 'extremely bullish' territory over the past 24 hours, while message volume rose from 'extremely low' to 'extremely high' levels.

A Stocktwits user opined that this is a pump-and-dump move.

Another believes that the rally could be short-lived.

In August, Galecto CEO Hans Schambye announced that the company is looking forward to submitting an Investigational New Drug (IND) application to the U.S. Food and Drug Administration in the first quarter of 2026 for its lead program, GB3226. Preclinical data support the therapeutic potential of the candidate as a monotherapy and in combination to address the menin-resistant population within AML, the company said.

Galecto ended the second quarter with approximately $10.2 million in cash and cash equivalents. Last month, it said that it expects this amount to be sufficient to fund operating expenses and capital requirements into 2026, including the submission of the investigational new drug application for GB3226.

The company also noted that it would require substantial additional capital to finance its operations, including future clinical development of its GB3226 and GB1211 programs.

GLTO stock is down by 20% this year. 

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