Harmony Biosciences (HRMY) stock plummeted on Wednesday after the pharmaceutical company posted results from its Phase 3 registrational clinical trial of ZYN002 in Fragile X syndrome (FXS). FXS is an inherited genetic disorder that causes mild to severe intellectual disability, with symptoms that include delays in talking, anxiety, hyperactive behavior, and seizures.
Elevate Your Investing Strategy:
- Take advantage of TipRanks Premium at 50% off! Unlock powerful investing tools, advanced data, and expert analyst insights to help you invest with confidence.
The bad news for investors in Harmony Biosciences is that the study did not meet its primary endpoint of improvement in social avoidance. This was primarily due to a higher-than-expected placebo response rate. The study tested the effectiveness and safety of ZYN002 in patients between the ages of three and 30.
Jeffrey M. Dayno, M.D., President and CEO of Harmony Biosciences, said, “While these results are not what we anticipated, we remain confident in our ability to bring innovative therapies to patients while creating long-term value for shareholders. We have a late-stage, catalyst-rich pipeline with multiple Phase 3 programs in the clinic and continue to be on track to initiate our Phase 3 trials for pitolisant HD in narcolepsy and idiopathic hypersomnia in the fourth quarter of this year.”
Harmony Biosciences Stock Movement Today
Harmony Biosciences stock was down 7.08% in pre-market trading on Wednesday, following a 1.08% drop yesterday. The shares have also decreased 6.8% year-to-date and 14% over the past 12 months. Trading activity was muted today, as some 25,000 shares changed hands, compared to a three-month daily average of about 661,000 units.
Is Harmony Biosciences Stock a Buy, Sell, or Hold?
Turning to Wall Street, the analysts’ consensus rating for Harmony Biosciences is Strong Buy, based on seven Buy ratings and a single Sell rating over the past three months. With that comes an average HRMY stock price target of $50.71, representing a potential 58.12% upside for the shares.
