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Tuesday, December 17, 2019

Adamas Pharma plunges after mixed results in MS trial

“As we did not see the scale of clinical benefit we had hoped for in this study we will fully assess the potential for ADS-5102 in MS patients before determining the extent of our continued investment in this program,” says Adamas (ADMS -40.7%) CEO Neil McFarlane after mixed results in the drug’s Phase 3 trial.
The 274 mg dose showed improvement in the timed 25-foot walk after 12 weeks, but the lower did not, and neither dose showed a significant effect on secondary walking measures.
Already bearish on the name, BAML cuts its price target to $3. “Visibility needed on path forward in MSWI,” says the team.
Evercore, meanwhile, is launching a spirited defense of its $45 price target. Analyst Joel Schimmer says this marks the final of many mistakes from prior management. “The new team can execute on Gocovri for LID with a clean slate and lightly explore other pipeline opportunities.”
Shares are currently trading hands at $4.50.

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