Whats going on with the Synairgen share price?
The Synairgen (LSE: SNG) share price has been on a rollercoaster ride this year. Year-to-date, the stock is up 5.5%. However, these numbers dont tell the whole story. In May, shares in the biotechnology company slumped by more than a third, falling from around 148p to a low of 98p. 5G is here  and shares of this sleeping giant could be a great way for you to potentially profit! According to one leading industry firm, the 5G boom could create a global industry worth US$12.3 TRILLION out of thin air And if you click here well show you something that could be key to unlocking 5Gs full potential...  After reaching this low, the stock quickly rallied, charging higher over the following weeks to top out at 176p at the beginning of June. Despite this volatility, shares in the company are still up nearly 400% over the past 12 months. Since the beginning of June, the Synairgen share price has moved sideways. Company outlook  Its impossible to predict the short-term movements of stocks. Still, in the long-term, equity prices should track underlying business performance. Therefore, if the firms operating performance improves, the Synairgen share price should follow suit. Currently, the firms future depends on the success of its inhaled formulation of interferon beta, which is being trialled as a potential treatment for coronavirus. The companys treatment, SNG001, has shown to be effective in initial studies, but theres still a way to go before full commercialisation. Towards the end of May, the company informed the market that trials of the SNG001 treatment had shown it to be effective against SARS-CoV-2 variants. Commenting on the trial results, Professor Sir Stephen Holgate, the founder of Synairgen, said the studies confirmed interferons impact on viruses, which is a positive development for the treatment and only adds to its appeal for healthcare professionals. SNG001 is currently undergoing testing in a phase III trial on hospitalised patients. The company expects to report the results of the trial in the second half of 2021. In the meantime, the Synairgen share price is likely to remain volatile. While the company has reported positive trial results from its treatment up to this point, SNG001 will only make it to market if it passes the last hurdle with flying colours. Unfortunately, theres no guarantee it will. Synairgen share price: risky investment  If the treatment doesnt make it through the final testing stage, Synairgen could lose its flagship product. This would be a massive blow for the business and would undoubtedly negatively impact the stock. On the other hand, if the treatment does make it through the phase III trials, the skys the limit for the company. Testing of SNG001 has so far shown it to be effective against all types of respiratory viruses. As such, the potential market for this new treatment could be colossal. Overall, the recent trading activity in the Synairgen share price seems to reflect the markets uncertain views. It seems some investors dont believe in the companys treatment. However, based on the positive test results so far, I think SNG001 could have potential. With that being the case, Im willing to change my previously negative opinion of the stock. As the firm pushes forward, Id buy a small speculative position for my portfolio.