Kura Oncology Inc (NASDAQ:KURA) Has A Bunch Of Catalysts Just Around The Corner

Kura Oncology Inc (NASDAQ:KURA) is a big biotech runner this week, with the company gaining more than 30% during the Tuesday session, and looking set to pick up further strength on Wednesday on the back of a few percentage point run premarket. The gains derive from a clinical update and the news that the company will be putting out fourth quarter and full year 2016 financials after market close on March 14.We think, however, that these two releases aside, there's more to the buying than first meets the eye. Specifically, Kura has a host of catalysts set to hit press both in the near and medium term, and we think that markets are loading up in anticipation of a positive outcome for these data driven binary events.In line with this theory, here are the catalysts to keep an eye on that we see as the value drivers going forward.They (pretty much) all relate to the company's lead development asset, a drug called tipifarnib. The mechanism of action (MOA) for this one is somewhat technical, but we can conceptualize it to make it a little simpler. Basically, we've got these proteins called Ras proteins in our bodies, and, when activated, they play a key role in cell growth and development. In order to become active, a process that sees an enzyme called farnesyl tranferase attach to the Ras protein is required. Tipifarnib binds to the FT enzyme meaning it can't attach to the Ras protein. No attachment, no activation. Why is this important? Well, one of the key elements of cancer cell proliferation is an overactive (or permanently active) Ras protein. If tipifarnib can inhibit the activation of these overactive proteins, the theory is that it can – in turn – inhibit the unchecked cell proliferation associated with cancer spread.Simple.So, the drug is in a host of phase II trials right now, and it's these trials that we are looking at as catalysts across the coming months. We got a bit of data last week (that's the release we alluded to above) but there is more to come, and as a result, plenty more upside potential.First up, we're looking for data from a phase II study investigating the drug in a T-Cell Lymphoma indication. There was some strong early stage evidence for efficacy in this target, and Kura is currently carrying out a mid stage trial that aims to build on these early numbers. The report is slated to hit press at some point during the first half of this year, and we expect early second quarter.Beyond that, there's some follow up data related to the numbers that the company just released. It's an HRAS solid tumor phase II, and the data juts reported came from this study, the numbers looked promising, and Kura has reported that it will report follow up data to build on this early promise during the second half of the year. In our eyes, this is the lead study (although the company hasn’t said this in so many words) as the market for a solid tumor target is very large.Finally, there's a myelodysplastic syndrome phase II set to read out at some point in and around the time that the above mentioned solid tumor data hits press. This one kicked off mid 2016, and the 2017 release will offer insight into whether this study will advance towards pivotal. Again, this is a relatively big market (in dollar potential, if not patient numbers) and so it could be a big driver as and when it hits press.There's a 2018 release associated with an ongoing leukemia phase II, but we're looking no further than the 2017 reports for now. When these hit press, we'll take another look and realign our bias based on what the numbers say.Dilution isn’t an immediate problem, with just shy of $75 million on hand reported at September 30 and a runway into early-mid 2018. Chances are we'll get a raise mid next year if the trials bring about a positive outcome.We will be updating our subscribers as soon as we know more. For the latest updates on KURA, sign up below!Disclosure: We have no position in KURA and have not been compensated for this article.