Stemline Therapeutics Inc (NASDAQ: STML)
Stemline Therapeutics is having an overwhelmingly rough start to the trading session today, and for good reason. The company offered a business update today, in which it explained to investors that yet another patient death has occurred during clinical trials. Below, we'll talk about what we're seeing from the stock, why, and what we'll be watching for with regard to STML ahead.
What We're Seeing From STML
As mentioned above, Stemline Therapeutics is having a rough start in the market today. Due to the patient death that occurred in Phase 2 clinical trials, the stock fell nearly 20% in the pre-market hours. However, it seems to be trying to recover as it is up quite a bit from there at the moment. Currently (9:32), STML is trading at $8.75 per share after a loss of $1.40 per share or 13.79% thus far today.
Why The Stock Is Falling
As is almost always the case, our partners at Trade Ideas were the first to alert us of the movement on STML. As soon as we received the alert, the CNA Finance team started digging to see what was causing the movement. It didn't take long to uncover the story in this case. Ultimately, the declines are the result of a patient death during a clinical trial.
Stemline Therapeutics previously reported a patient death in the SL-401 clinical trial, and today, yet another was reported. While the second patient death is indeed a concern to all, the Phase 2 trial is continuing to advance. Nonetheless, the death of the patient within the trial is leading to fear among investors, causing the declines that we're seeing on the stock.
What We'll Be Watching For Ahead
Moving forward, the CNA Finance team will continue to keep a close eye on STML. In particular, we'll be following the company's ongoing work surrounding SL-401. Nonetheless, we'll continue to follow the story closely and bring the news to you as it breaks!
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