Why Veru's Shares Fell 21.8% on Tuesday
Veru (NASDAQ: VERU), a biopharmaceutical company that specializes in oncology therapies, had a wild swing on Tuesday, with its shares falling 21.8% on the same day after they started out the morning 12.9% higher. The stock closed at $12.28 on Monday, then opened sharply higher on Tuesday at $13.61, but then tumbled the rest of the day, falling to $9.60 in the late afternoon. The company has a 52-week low of $4.54 but was coming off its 52-week high on Monday, when it hit $14.57.
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On Monday, the stock had soared on the company's announcement that it planned to seek Emergency Use Authorization (EUA) from the Food and Drug Administration for Sabizabulin, as a COVID-19 therapy. In its release Monday, the company said that the drug, in a Phase 3 clinical trial, produced a 55% reduction in deaths from COVID-19 compared to a placebo in patients with moderate to severe risk of acute respiratory distress syndrome, regardless of the variant. The study's Independent Data Safety Monitoring Committee unanimously recommended that the study be halted due to efficacy, adding there were no identified safety concerns.
Source Fool.com
