Here's Why Sage Therapeutics Lost 53.3% in December
Shares of Sage Therapeutics (NASDAQ: SAGE) fell by more than half last month, according to data provided by S&P Global Market Intelligence. The nosedive occurred after the company announced that SAGE-217 failed a phase 3 study investigating the drug candidate's potential to treat major depressive disorder (MDD).
Investors had been keenly interested in the asset, which is taken orally and utilizes a novel mechanism of action compared to more commonly prescribed selective serotonin reuptake inhibitors (SSRIs). Analysts had expected the drug candidate to reach peak annual sales of $2 billion or more within a decade, but those hopes are now dashed.
The end-of-year dive meant that the pharma stock lost nearly 25% of its value in 2019.
Source Fool.com
