(NASDAQ: BIIB) built itself into a multiple sclerosis (MS) treatment giant over the years -- but as older blockbusters lost exclusivity, growth stalled. And last year, annual revenue dropped more than 45% to $9.8 billion from its peak back in 2019. Though Biogen launched a new MS drug back in 2019, called Vumerity, it's failed to replicate the growth and revenue levels of its predecessor.

To boost growth, Biogen turned to other areas, and has placed a particular focus on the treatment of Alzheimer's disease. The company and partner Eisai won approval of Leqembi in the U.S. last year and have progressively launched the treatment there and in China and Japan. But just this week, the companies received some bad news: European drug regulators turned down Leqembi, saying the risks outweigh the potential benefits.

As a result, Biogen shares slipped 7% in one trading session, leaving the stock with a decline of more than 18% so far this year. Considering this latest news and the stock's performance, is Biogen a player to avoid right now... or a bad news buy? Let's find out.

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Source Fool.com