Needham downgraded Sage Therapeutics (SAGE) to Hold from Buy. The FDA’s CRL on zuranalone in major depressive disorder, or MDD, meaningfully lowers the drug’s commercial opportunity, the analyst tells investors in a research note. The firm is also reducing its probability of success in the indication to 40% from 80%, adding that the FDA decision makes Needham wonder about Sage partner Biogen’s (BIIB) continued commitment in developing the MDD indication. Needham is also cutting its FY23 EPS view on the stock to ($9.04) from ($6.95).
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Read More on SAGE:
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