Arvinas Holding Company LLC (NASDAQ: ARVN) saw its stock price plummet by 5.89% on Wednesday, closing at $48.75 per share, as investors remained cautious ahead of the highly anticipated results from the VERITAC-2 trial for the company's lead drug candidate, vepdegestrant.

Vepdegestrant, an oral estrogen receptor (ER) degrader, is being evaluated in a Phase 3 trial (VERITAC-2) for the treatment of ER+/HER2- breast cancer in patients whose cancer has progressed after or during endocrine therapy. The trial's success is crucial for Arvinas, as it could pave the way for the company's transition from a clinical-stage to a commercial-stage biopharmaceutical company.

While Arvinas reported strong revenue growth in the third quarter of 2024, with revenue reaching $102.4 million, up from $34.6 million in Q3 2023, investors remain wary of the uncertainty surrounding the VERITAC-2 trial. The company's management acknowledged that the success of vepdegestrant is contingent on regulatory approvals and its ability to demonstrate superior efficacy and tolerability compared to existing treatments.