InMed Pharmaceuticals Inc. (INM) shares climbed 21.98% in after-hours trading Wednesday, hitting $1.50. That's a welcome bounce for a stock that closed the regular session at $1.23, down 15.75% on the day.

Breaking Through With Large Animal Data

The Vancouver-based pharmaceutical company announced it successfully completed pharmacokinetic studies in large animal models for INM-901, its Alzheimer's disease candidate. This marks the first time the company has administered the oral formulation in large animals during preclinical testing, which is a significant step toward human trials.

The results look promising. Studies demonstrated strong bioavailability in living models over a seven-day period, and INM-901 achieved therapeutic systemic exposure levels—meaning the drug reached concentrations in the bloodstream that could actually produce a therapeutic effect.

"The successful completion of our first large animal PK study is very encouraging for the INM-901 program," said Dr. Eric Hsu, Senior Vice President of Preclinical Research and Development.

What Comes Next on the Regulatory Road

InMed has completed additional chemistry, manufacturing, and controls development to scale up production for Investigational New Drug-enabling studies. The company's game plan includes conducting dose-ranging studies, scheduling a pre-IND meeting with the Food and Drug Administration, and running Good Laboratory Practice-enabling studies—all the regulatory boxes that need checking before submitting an IND application.

The Financial Reality Check

According to its fiscal first-quarter 2026 earnings report, InMed had $9.3 million in cash as of September 30. That runway extends into the fourth quarter of 2026, which gives the company some breathing room to advance its programs.

But the broader picture isn't pretty. The stock has plummeted 74.38% year-to-date and trades in a 52-week range of $1.23 to $8.27. With a market capitalization of just $3.45 million, InMed is a micro-cap biotech facing the classic small-company challenge: promising science, limited resources, and a market that's lost patience.

The company's Growth score sits at 33.86, reflecting the uphill battle ahead despite Wednesday's after-hours enthusiasm.