JPMorgan notes that AbbVie (ABBV) announced that its two Phase 2 EMPOWER trials evaluating emraclidine in schizophrenia did not meet their primary endpoint of showing a statistically significant reduction in the PANSS total score versus placebo, calling this is “a very surprising outcome” in light of strong Phase 1b data. The firm expects AbbVie shares to trade off by about 10% on the news, which it notes would be “well above” what AbbVie paid for Cereval, but adds that “the Street had viewed emraclidine as an exciting asset for the company.” Meanwhile, the firm expects Bristol Myers (BMY) shares to be up 10%-15% with Cobenfy now alone in the space for the foreseeable future. The firm has Overweight ratings on both stocks.
Published first on TheFly – the ultimate source for real-time, market-movingbreaking financial news Try Now>>
See Insiders’ Hot Stocks on TipRanks >>
Read More on ABBV:
- AbbVie falls -12.2%
- AbbVie ‘pain’ is Bristol Myers ‘gain’ after emraclidine fails, says Truist
- AbbVie falls -11.1%
- Bristol Myers rises, AbbVie sinks after schizophrenia trials miss targets
- AbbVie’s emraclidine did not meet endpoint in Phase 2 schizophrenia trials
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
