Sage Therapeutics bucks market selloff on pipeline prospects

Sage Therapeutics (SAGE +5.2%) is up on double normal volume, although down over 6% from its intraday high of $57.98, on the heels of its pipeline update today. Highlights:

Co. has developed a robust line-up of NMDA receptor modulators, including programs in postpartum depression (PPD), treatment-resistant depression, Parkinson’s disease, essential tremor (ET), Huntington’s disease (HD) and cognitive disorders.

Early-stage studies of HD candidate Sage-718 showed improvements in cognitive performance.

Sage-324 has demonstrated strong pharmacokinetic/pharmacodynamic profile in ET while being well-tolerated. Dose-ranging study planned to define an exposure range and profile that balances efficacy with tolerability.

Data readouts from studies of zuranolone in depression, monotherapy in PPD, monotherapy add-on in major depressive disorder (MDD) and simultaneous start with new antidepressant therapy in MDD, are expected in 2021.

Phase 3 study evaluating brexanolone in COVID-19 patients with acute respiratory distress syndrome (ARDS) should launch in November.

Shares are up 116% from the low of $25.01 on March 18. The stock plummeted 60% on December 5, 2019, after the company reported that Sage-217 failed to achieve the primary endpoint in a late-stage MDD study. 

https://seekingalpha.com/news/3613057-sage-therapeutics-bucks-market-selloff-on-pipeline-prospects