Vaxart Inc (NASDAQ: VXRT) is having an incredibly rough start to the trading session this morning after the company released results from a clinical trial. Unfortunately, the trial proved to be a failure, leading to concerns among investors and sending the stock on a spiral downward. Today, we’ll talk about:
- The trial results;
- what we’re seeing from the stock as a result;
- and what we’ll be watching for with regard to VXRT ahead.
VXRT Announces Clinical Data
As mentioned above, Vaxart is having an incredibly rough start to the trading session this morning after the company announced data that missed the mark. In a press release issued early this morning, the company released topline results from a Phase 2 clinical trial. During the trial, the company assessed the safety and efficacy of an antiviral teslexivir 5% gel dose. The drug was being evaluated as a treatment for condyloma or anogenital warts.
In the release, the VXRT said that the safety objectives were all met, showing a benign safety and tolerability portfolio when compared to placebo. During the trial, no serious adverse events were demonstrated. However, when it comes to efficacy, the data wasn’t quite as positive. During the 16 week period only 30.6% of patients in the teslexivir group completely cleared baseline condyloma. That figure in the placebo group was 23.3%, showing that the data did not display a statistically significant clinical benefit. In a statement, Wouter Latour, CEO at VXRT, had the following to offer:
While this trial did not achieve the primary efficacy endpoint, we were pleased with the benign safety profile and positive efficacy trends in certain patient subpopulations… We are currently in the follow-up phase of the study and data collection should continue for a few more weeks. During this period, we will conduct further analysis of the results, which should inform us about the future steps with the teslexivir program. In the meantime, we will continue to focus on the advancement of our oral vaccine platform through the clinic.
What We’re Seeing From The Stock
One of the first lessons that we learn when we start to work in the market is that the news causes moves. Unfortunately for Vaxart, the news proved to be upsetting. With the primary efficacy endpoint for this study being missed, it’s back to the drawing board for the company. So, it’s no surprise that upset investors are sending the stock spiraling downward. As is usually the case, our partners at Trade Ideas were the first to alert us to the declines. At the moment (9:19), VXRT is trading at $4.16 per share after a loss of $1.08 per share or 20.61% 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 VXRT. In particular, we’re interested in following the story surrounding the teslexivir program. While the data released proved to miss the mark, the company did say that there was some sign of promise in specific subpopulations. So, it will be interesting to see where we go from here. Nonetheless, we’ll continue to follow the story closely and bring the news to you as it breaks!
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