By Emily Dattilo
Shares of Incyte were tumbling after the biopharmaceutical company announced positive results from two skin disease treatment studies, but it wasn't enough for Wall Street.
Incyte stock fell 10% to $61.03, putting it on track for its largest daily percentage decrease since 2018. It also the worst performer in the S&P 500.
The company on Monday announced positive top-line results from its Phase 3 clinical trial program evaluating the safety and efficacy of povorcitinib in adult patients with moderate to severe hidradenitis suppurativa, an inflammatory skin condition.
Though both studies met their primary endpoint, William Blair analysts led by Matt Phipps, who rate the stock at Outperform, wrote that the placebo-adjusted rates were well below the Phase 2 results' levels.
"While the trial achieved statistical significance and will support regulatory submissions, investors will likely question the potential role for povorcitinib given multiple biologics with higher levels of activity," analysts wrote.
Write to Emily Dattilo at emily.dattilo@dowjones.com
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March 17, 2025 11:21 ET (15:21 GMT)
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