Who would buy a company with a pending lawsuit? Obviously 5 star has a horse in the race. The article is pure pumping. But the headline attracts investors who will do their due diligence. If they do they will find a commencial stage biotech with a pipeline and a contract worth hundreds of millions and a stock that is way oversold.
It's a lawsuit with a known worst case (half of st-246); and depending on your view of the appeal process, there is a huge upside possible. So with those facts in hand, I would imagine it being not to hard to put a 'low risk' valuation on the company.
That said, I would hate a sell at or near current value.