Seattle Genetics, Inc. (NASDAQ: SGEN)
Seattle Genetics is having an incredibly rough start to the trading session today. While were only a few minutes into the session thus far, the stock has already seen dramatic losses, and it looks like the declines will continue. Below, we’ll talk about what we’re seeing, why, and what we’ll be watching for with regard to SGEN ahead.
What We’re Seeing From SGEN
As mentioned above, today isn’t off to the best of starts in the trading session for Seattle Genetics. In fact, the start is proving to be overwhelmingly rough. While the opening bell just rang minutes ago, the stock is down as a result of big pre-market declines. Currently (9:33), SGEN is trading at $53.06 per share after a loss of $8.80 per share (14.23%) thus far today.
Why The Stock Is Falling
As usual, our friends at Trade Ideas were the first to alert us to the movement on SGEN. As soon as they did, the CNA Finance team started working to see exactly what was causing the movement. In this particular case, it didn’t take long to uncover the story. Early this morning, the company made a key announcement that clearly upset investors.
That announcement had to do with several Phase 1 trials of Vadastuximab Talirine (SGN-CD33A). Unfortunately, the company announced a clinical hold on several trials looking into the treatment. Of course, this is overwhelmingly negative for investors, as clinical holds may lead to a failed program, which would be horrible for Seattle Genetics and its investors.
What We’ll Be Watching For Ahead
Moving forward, the CNA Finance team will be keeping a close eye on SGEN. In particular, we’re interested in seeing the result of this clinical hold and whether or not the Phase 1 studies will continue at a later date. We’ll be watching the news closely and bringing it to you as it breaks!
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