Here's Why Axsome Therapeutics Fell as Much as 20.5% Today
Shares of Axsome Therapeutics (NASDAQ: AXSM) fell over 20% today after the company provided a quarterly update to investors. There wasn't much to report for the pre-commercial company in terms of financial metrics, but investors focused on one line in particular: A closely watched phase 3 study won't have results until the first quarter of 2020. It was originally expected to have results before the end of 2019.
The delay is disappointing. After all, the potential for AXS-05 to become a leading treatment for depressive disorders has catalyzed the stock's rise from obscurity in January 2019 to a more than $1 billion market valuation months later. But the explanation seems innocent and should benefit patients.
As of 2:32 p.m. EST, the pharma stock had settled to a 8.5% loss.
Source Fool.com
