Clearside Biomedical Inc (NASDAQ: CLSD) is having an overwhelmingly rough start to the trading session this morning, and for good reason. The company released data from a Phase 2 clinical study. While the study did meet it’s primary endpoint, the treatment itself showed inferiority to the treatment it was being combined with. Of course, this led to fear among investors, causing the stock to plummet. Today, we’ll talk about:
- The data;
- what we’re seeing from the stock as a result; and
- what we’ll be watching for with regard to CLSD ahead.
CLSD Falls On Data
As mentioned above, Clearside Biomedical is having a rough start to the trading session this morning after releasing clinical data. In a press release issued early this morning, CLSD announced data from a Phase 2 combination study. During the study, the company combined CLS-TA (triamcinolone acetonide) with Regeneron Pharmaceuticals’ (NASDAQ: REGN) EYLEA (aflibercept) in patients with diabetic macular edema.
While the study did meet its primary endpoint, there are some concerns that arise when we dig into the data. In particular, the average score in the combination treatment group, measured by a scale known as ETDRS, showed that when EYLEA alone was used, the response was better than the combination. In fact, the combination treatment group only scored 12.3 ETDRS letters, compared to 13.5 ETDRS letters seen in the EYLEA arm. The data analysis is still ongoing. However, the results are underwhelming, to say the least. In a statement, Daniel White, President and CEO at CLSD, had the following to offer:
We are pleased with the topline results of this Phase 2 trial, which signals the potential utility of suprachoroidal CLS-TA to improve on the existing standard of care in DME, another sight-threatening disease like RVO and uveitis… Based on the TYBEE data, we believe suprachoroidal CLS-TA, when given together with an anti-VEGF agent, has potential to provide a more lasting response to treatment, thereby substantially lowering the treatment frequency and burden for DME patients.
What We’re Seeing From The Stock
As investors, one of the first lessons that we learn is that the news moves the market. In the case of Clearside Biomedical, the news proved to be underwhelming. Not to mention, the data’s inferiority to EYLEA is leading to fear among investors. So, it’s no surprise that the stock is falling in the market today. Of course, our partners at Trade Ideas were the first to alert us to the declines. Currently (9:04), CLSD is trading at $11.50 per share after a loss of $3.04 per share (20.91%) thus far today.
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What We’ll Be Watching For Ahead
Moving forward, the CNA Finance team will continue to keep a close eye on CLSD. In particular, we’re interested in following the story surrounding the company’s data following the completion of the analysis. Nonetheless, we’ll continue to follow the story closely and bring the news to you as it breaks!
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