Ultragenyx stockx crashes 43.5% after failed rare bone disease trial
Ultragenyx Pharmaceutical’s stockx fell sharply on Monday, dropping 43.5% by mid-afternoon trading on the stock market. The decline follows disappointing results from a Phase 3 trial of its experimental drug for osteogenesis imperfecta, a rare bone disorder. The company’s Phase 3 studies, named Orbit and Cosmic, tested setrusumab as a treatment for osteogenesis imperfecta (OI). The trials failed to meet their primary goals, prompting a strong reaction from investors. Dr. Emil Kakkis, CEO of Ultragenyx, called the outcome surprising and disappointing. Osteogenesis imperfecta affects between 20,000 and 50,000 people in the US. The setback led several financial firms to cut their price targets for Ultragenyx stockx. Citigroup reduced its target from $103 to $50, while Barclays lowered its estimate from $81 to $50. Cantor Fitzgerald also adjusted its forecast, dropping it from $105 to $84. By 2:45 p.m. ET, shares were trading 43.5% lower on the stock market. No single event or individual was cited as the cause of the steep decline. The failed trial results have significantly impacted Ultragenyx’s stockx value. Analysts have revised their expectations, reflecting uncertainty about the company’s future prospects on the stock market. The drug’s setback leaves patients with osteogenesis imperfecta without a new treatment option for now.
