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3 Drug Stocks Feeling The Pain Today

Galapagos stock is sinking after rival firm Vertex announced impressive trial data

Managing Editor
Jul 19, 2017 at 3:29 PM
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U.S. stocks are higher this afternoon, with the Nasdaq win streak on pace to extend through another session. However, biotech names Neurotrope Inc (NASDAQ:NTRP), Galapagos NV (ADR) (NASDAQ:GLPG), and AcelRx Pharmaceuticals Inc (NASDAQ:ACRX) are sitting out the broad-market advance, with all three stocks sharply lower this afternoon. Here's a quick look at what's moving shares of NTRP, GLPG, and ACRX.

Disappointing Drug Data Sends Neurotrope Stock Spiraling

Neurotrope stock is down 17% to trade at $6.26 -- among the worst performers on the Nasdaq today -- as traders slam unimpressive mid-stage trial results for the company's Alzheimer's disease drug. Earlier in the session, the stock hit an all-time low of $5.55.

Shares of NTRP are currently short-sale restricted, which has triggered a relative surge in options trading on the under-the-radar biotech. So far, 169 NTRP put options have crossed the tape, representing eight times the typical intraday volume.

Price Target Cut Eats Into Galapagos Stock

Galapagos stock is down 3% to trade at $75.20, pressured by positive trial results from rival Vertex Pharma. Piling on, Morgan Stanley cut its price target for GLPG to $87 from $93.

It's been a rough stretch for GLPG shares since they peaked at $94.88 just over three months ago. GLPG is now down 20% from that record high, with its 30-day moving average rejecting a few minor rallies in the meantime.

Most analysts remain optimistic, however. Four out of six analysts rate GLPG a "buy" or better, with the average 12-month price target arriving at $90.

AcelRx Stock Slips as Company Names New CFO

AcelRx stock is down 4% to trade at $2.97 after the company appointed Raffi Asadorian as its new chief financial officer. AcelRx has been on the search for a new CFO since June 5, when Timothy Morris resigned.

ACRX stock snapped out of a four-month slump on Monday, with the stock gapping higher after Jefferies initiated coverage with a "buy" rating. Despite today's drop, ACRX is still on track for a weekly close above its 10-week and 20-week moving averages for the first time since March 31.

 
 

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