What Caught Our Attention in the Investment World? – Week of October 21-25, 2019

By Kuldip K. Ambastha and Anil K. Ambastha

On October 22, 2019, Biogen Inc. (BIIB) delivered a 26.1% return for the day. This was the stock’s largest one-day percentage return in 23 years. Its Alzheimer’s drug (aducanumab) had previously been written off as a failure, but now will be getting a second chance at approval from the U.S. Food and Drug Administration (FDA). Phase 3 trials for aducanumab in March 2019 were less than ideal, but now Biogen Inc. has disclosed new data from the Phase 3 trials that shows a marginally beneficial impact in Alzheimer’s patients. If fully approved, aducanumab will be the only approved treatment on the market for Alzheimer’s. Furthermore, during the week, Biogen Inc. announced that it had beaten its estimates on earnings per share (EPS) and sales for 3Q2019.

Keywords – Biogen Inc., BIIB, Alzheimer’s, aducanumab, healthcare, medicine, drug, earnings per share, EPS, sales, Food and Drug Administration, FDA, regulation, approval, pharmaceutical, biotech, 3Q2019.

Disclosure – The principals of Ambastha Financial LLC have short option position in BIIB. The clients of Ambastha Financial LLC have no position in BIIB.

Disclaimer – No recommendations are being made via this post. Past performance is not an indicator of future performance. As an investor, you should do your own research and seek professional advice from a Registered Investment Adviser (RIA). You can lose money by investing in stocks and other instruments. Ambastha Financial LLC does not assume any responsibility (legal or otherwise) for any losses that may occur as a result of actions taken based on this post. All content copyrighted © 2019 – Ambastha Financial LLC.

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