BackLower circuit stock: Sun Pharma Advanced share price tanks 5% on ending Proseek study; here's what analyst says
Sun Pharma Advanced share price dropped 5% as Phase 2 study on Vodobatinib for Parkinson's was terminated. Analyst predicts further decline towards ₹400 due to selling pressure and drying volumes.
PremiumSun Pharma Advanced share price slumped 5% and was locked in the lower circuit at ₹431.10 apiece on BSE after it notified the exchanges that it had ended the Phase 2 study on Vodobatinib for Parkinson's.
Rajesh Bhosale - Equity Technical and Derivative Analyst, Angel One, said that recently the stock has seen strong positive momentum, but today it has seen selling pressures with prices down 5% on the lower circuit. Volumes are drying down and may slip further in the coming sessions towards 400. As of now, avoid it as long as we don't see clear signs of strength back at this counter.
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Five hundred and thirteen people with early-stage Parkinson's disease from Europe, the United States, and India participated in a global trial named PROSEEK. Patients with early-stage Parkinson's disease were to be the subjects of safety and efficacy trials for the selective c-Abl tyrosine kinase inhibitor.
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The primary goal of the trial was to show a decrease in the symptoms as measured by the Movement Disorder Society's Unified Parkinson's Disease Rating Scale (MDS-UPDRS) Part III.
Sun Pharma Advanced Research Company said that the trial was unable to show that Vodobatinib was more effective than a placebo in terms of the pre-specified primary objective, which was the change in MDS-UPDRS Part III total score.
After analysing the data, the company chose to discontinue the research since it did not demonstrate any advantage of treatment for patients using Vodobatinib. As per the exchange filing, the company intends to wrap up the comprehensive examination of clinical outcomes and related biomarker data in the upcoming months.
The CEO of Sun Pharma Advanced Research Company, Anil Raghavan, stated that although the interim analysis results did not meet their expectations for their patients, the study's findings will greatly advance their understanding of the function of c-Abl kinase in alpha synucleinopathies.
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“Our gratitude extends to all those who played a role in the PROSEEK study, particularly the patients and their caregivers, researchers, and our dedicated team that worked relentlessly on the study," added Raghavan.
The company will host a conference call at 16:30 IST on April 15, 2024.
Disclaimer: The views and recommendations above are those of individual analysts, experts and broking companies, not of Mint. We advise investors to check with certified experts before making any investment decisions.
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