Alzheimer’s disease slowly destroys the brain’s memory and cognitive skills. Aducanumab will be the only drug effective in treating the disease and not relieving its symptoms. Aduhelm (aducanumab) has been approved by the U.S. Food and Drug Administration (FDA).
After receiving approval from the regulator, Biogen Inc. (NASDAQ: BIIB) must conduct clinical trials to gain insight into the drug’s therapeutic benefits. Taking steps to remove a medicine from the market is an alternative if it doesn’t work as expected, the department wrote.
Biogen Inc. (NASDAQ: BIIB) shares climbed 21.92% to $ 348.89 in reaction. Trading in Biogen shares on the NASDAQ stock exchange was halted in anticipation of news that significantly impacted price dynamics. In a June 3 report, Jefferies analyst Michael Yee predicted that Biogen’s shares would rise to $400 per share if the FDA approved aducanumab. Otherwise, we can foresee a fall to $ 175-200.
Alzheimer’s disease changes the way the brain functions gradually over time, destroying memory and thinking skills. Approximately 5.8 million people in the U.S alone have Alzheimer’s disease, according to the Alzheimer’s Association. Currently, some medicines can ease symptoms, but none of them can cure the disease completely. It is believed that aducanumab can prevent both the development of Alzheimer’s disease and its devastating side effects.
Aducanumab has had inconsistent results in clinical trials. One of them in the third phase showed a significant advantage of 23% compared to placebo. This indicates that the medicine had slowed down the disease process. In contrast, the second major study did not find any benefits. Due to these reasons, Biogen canceled the development of Aducanumab in March 2019. After re-checking the data, Biogen announced in September 2019 that it had discovered evidence that the treatment is working.
Shares of Biogen Inc. (NASDAQ: BIIB) were up 38.34% at $395.85 as of the last check. BIIB’s shares closed at $286.14 in the previous session. During the day, the shares fluctuated between $286.0001 and $468.55. The number of shares exchanged was 17.95 million, higher than its 50-day daily volume of 1.36 million and higher than its year-to-date volume of 1.35 million. The BIIB stock price has gained 32.10% in the last 12 months. Additionally, the stock has moved up 47.99% in the previous week. The stock has earned a total of 62.17% over the past six months. Over the last three months, the stock is up 46.61%. The stock is up 61.66% so far this year. Moreover, the price-to-earnings ratio for the stock is 20.77.