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Source: ShutterstockAthira Pharma (NASDAQ:ATHA) stock is plummeting on Wednesday following the outcome of a Phase 2 clinical trial of fosgonimeton.
Fosgonimeton is a treatment for Alzheimer’s disease currently in development. The clinical trial saw Athira Pharma testing the effectiveness of this drug in 77 patients suffering from mild-to-moderate Alzheimer’s disease.
Unfortunately for ATHA stock, the clinical trial was unable to meet its primary endpoint. That means it was unable to cause a statistically significant change in ERP P300 Latency for those suffering from Alzheimer’s disease.
Adding salt to the wound is the fact that the trial also failed to meet its secondary endpoint. That includes a significant change in cognition, global clinical change, or functional change when compared to a placebo.
Mark Litton, Ph.D., president and CEO of Athira Pharma, isn’t giving up on fosgonimeton just yet.
“We are in the fortuitous situation that we have a much larger trial ongoing with more than 200 patients completing at least 20 weeks of treatment providing us with an opportunity to obtain more insights in an expedited manner. Our strong cash position allows us to continue to progress fosgonimeton development.”
ATHA is experiencing heavy trading today alongside the recent clinical trial data. This has some 10 million shares on the move as of this writing. That’s well above its daily average trading volume of about 294,000 shares.
ATHA stock is down 67% as of Wednesday morning.
There’s more stock market news for traders to dive into below!
We’ve got all the hottest stock news for Wednesday! That includes what’s happening with shares of Winnebago Industries (NYSE:WGO), Precision BioScience (NASDAQ:DTIL), and Revlon (NYSE:REV) stock today. You can read up on these matters at the following links!
More Wednesday Stock Market News
- WGO Stock Pops as Winnebago Industries Reports Record Revenue
- Precision BioSciences (DTIL) Stock Treks Higher on Novartis Deal
- Revlon (REV) Stock Soars as the Top Short Squeeze Opportunity
On the date of publication, William White did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.
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