Here's Something Markets Have Missed With BioCryst Pharmaceuticals, Inc. (NASDAQ:BCRX)

For a company that just picked up a major FDA approval, BioCryst Pharmaceuticals, Inc. (NASDAQ:BCRX) is trading remarkably flat. Premarket on Thursday, September 21, the company announced that the FDA has approved its RAPIVAB asset, which is an injection formulation of peramivir, for pediatric use (i.e. patients between ages 2 and 18). BCRX Daily ChartBefore the announcement, BioCryst shares went for around $5.27 piece. At the open on Thursday (subsequent to the announcement), the company peaked out at a little over $5.50 apiece, before giving back the integrity of the run as the session matured and closing out at $5.27.Essentially, then, there's been no reaction to this news.We see this as an opportunity to jumping ahead of wider markets realizing what they are missing out on and loading up on BioCryst in an attempt to beat the crowd.So what has happened?Those familiar with BioCryst will likely already know that the company had picked up approval for this asset back in 2014 as an influenza treatment. It is what's called a neuraminidase inhibitor. Neuraminidase is an enzyme that plays a key role in the replication of cells that are infected by viruses (in this instance, the influenza virus) and, through its inhibition, a drug like peramivir is able to slow or stop the spread of the virus while the immune system gets to work clearing it out from the body.The latest approval is also as an influenza treatment but, and here is the key point, it is a pediatric approval whereas the previous approval was only valid for treatment in patients ages 18 years and over.Why is this important?Because this is an intravenous injection type administration drug and that is what differentiates it from the alternative versions of peramivir that are on the market today. Primarily, these versions are rooted in oral administration – pill form, soluble tablets, that sort of thing.For many adults, taking a drug orally isn't a problem. In fact, that's not quite accurate – research suggests that up to 50% of adults are uncomfortable with pill form administration, but that's not important here.For children, on the other hand, and especially very young children (say between ages two and six) swallowing a pill or drinking a soluble tablet mixture can be a real problem. This is where BioCryst's intravenous peramivir comes into play. It offers physicians an option with which they are able to overcome the problem of a young child's inability to swallow a tablet and, in doing so, differentiates itself enough to have a very large potential market.And it is in this differentiation that we believe the underwhelming to the news is rooted. Markets seem to be looking at this development as just an extension of the already approved population, which it technically is, but it is more than that. It's a new population that have an administration requirement that the previously approved population didn't really have to a large degree and this makes it a real potential winner for BioCryst.The company raised $80 million just a couple of weeks ago, which is primarily earmarked for the development and commercial launch of an infectious disease asset called BCX7353. A portion of it, however, will almost certainly go towards kicking off a commercialization effort for pediatric RAPIVAB, meaning there is plenty of cash on hand to secure a successful launch. Additionally, the fact that the company just raised cash (BioCryst netted around $74 million post-issue) removes any near-term dilution risk for a shareholder looking to pick up an exposure in and around current prices and ahead of what we see as a near-term reevaluation for the stock.We will be updating our subscribers as soon as we know more. For the latest updates on BCRX, sign up below!Image courtesy of Agência Brasília via FlickrDisclosure: We have no position in BCRX and have not been compensated for this article.