It certainly has been a great end to the week for the Zelda Therapeutics Ltd (ASX: ZLD) share price.
The medicinal cannabis company's shares have rocketed 26% this morning to 7.1 cents.
What happened?
This morning Zelda announced positive results from its ongoing pre-clinical research into the use of cannabinoids as anti-cancer agents.
According to the release, the latest results from a series of in vitro studies have confirmed that both THC-rich and CBD-rich oils have had a statistically significant anti-cancer effect across a range of different breast cancer cell lines.
Management believes these results demonstrate the potential for cannabinoid-based therapies to be therapeutically beneficial for a number of breast cancer types which include hormone receptor positive, HER2+, and triple negative cancer types.
Zelda expects to release further data in the next few months related to additional in vitro and in vivo studies.
Should you invest?
I can't say I'm surprised to see its shares rally today. Not only is this positive news, but its shares fell sharply in May as investors took profit.
But while I think Zelda could have enormous potential like strategic partner Auscann Group Holdings Ltd (ASX: AC8) and fellow pot stock Creso Pharma Ltd (ASX: CPH), it is still too early for an investment for me.
Until medicinal cannabis is being prescribed by a large number of physicians and these companies are generating significant sales, I'll be watching on from the sidelines.
