Impact Of Biotechnology On The Stock s Potential

This week examines developments from biotech companies AstraZeneca (AZN), Relypsa (RLYP), and Mast Therapeutics (MSTX) where recent FDA and management announcements have the potential to significantly impact the stock’s potential. In both scenarios below, speaking to an expert will help investors gain insights into these complex situations and perform fundamental diligence. AZN deserves investor attention as the FDA recently rejected its potential blockbuster hyperkalemia drug, ZS-9, citing concerns over its pre-manufacturing process. More specifically, the FDA issued a complete response letter (CRL) and 483 form to AZN, which states a drug will not be approved in its current state, but does not require new clinical data for potential future approval. This came as a surprise to many who expected a smooth road to approval for ZS-9 after AZN purchased ZS Pharma for $2.7 billion last December. AZN shares were only down 1% as a result of the news, but competitor RLYP saw its shar es jump ≈29%. Previously, some analysts believed AZN would swoop in with a superior drug and claim most of the market for hyperkalemia, but with the FDA’s denial of ZS-9 that future looks murkier. MSTX warrants investor interest after their CEO announced they would be delaying the release of Phase 3 top-line data for EPIC study by more than a month due to delays locking their patient dataset. Despite this announcement, MSTX’s stock price has risen more than 25.5% over the last 4 weeks and went upShow MoreRelatedStrategies Management Of Pharmaceutical Company1521 Words   |  7 Pagesfocused and dynamic Central sensory system and respiratory markets. 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