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Why Biotech Stocks Fall After Positive Clinical Trials


Sometimes, after a biotech or biopharma company releases positive results of a clinical trial, the company's stock still goes down. What contributes to the apparent disconnect?

In this video clip from "The Pharma & Biotech Show," recorded on Feb. 9, Motley Fool contributor Brian Orelli asks Dr. Frank David, author of The Pharmagellan Guide to Analyzing Biotech Clinical Trials, to explain why positive press releases are sometimes met with negative stock price movements.

 

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Source Fool.com


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