Vaccinex Inc. (NASDAQ:VCNX) plunged by 40% Wednesday despite reporting promising early results of its Alzheimer’s therapy.
In its SIGNAL AD trial, the biotechnology firm said that its pepinemab antibodies were well tolerated by AD patients. The study involved 16 sites, and none reported any serious treatment-related adverse events.
Pepinemab has been well tolerated in previous trials for patients with multiple sclerosis, Huntington’s and other diseases.
Eric Siemers, principal investigator of the SIGNAL AD study presented topline results at today’s Alzheimer’s Association International Conference.
Vaccinex’s stock price is down by more than 50% compared to its mid-February high for the year.
SIGNAL AD trial results: What they mean
According to the Wednesday press release, Pepinemab showed a statistically-significant increase in FDG PET signal among patients with mild cognitive impairment related to Alzheimer’s disease (MCI).
In a previous HD study, pepinemab was shown to improve performance in a number of cognitive and psychological tests. Maurice Zauderer – the CEO of Vaccinex Inc. told investors today that:
The SIGNAL AD study results, we believe, demonstrate that pepinemab can prevent the typical disease-related decline in brain metabolism in an area of the brain known to be affected at the earliest stages of disease progression.
These results are important, considering that approximately 7.0 millions Americans currently live with Alzheimer’s. According to the Alzheimer’s Association, up to 18% suffer from MCI related AD in those older than 60. More than 30% are at high risk for developing dementia in the next five years.
Treatments that slow down the progress of mild cognitive impairment can extend the lifespan of those at risk.
Vaccinex shares have not yet responded positively to Wednesday’s positive news.
Vaccinex shares are down despite a Q1 profit that was narrowed
It was a few months since Vaccinex had reported their financial results of the first quarter.
VCNX ended March with $3.0 Million in cash including cash equivalents, marketable securities and other assets – double what it had when the company began 2024.
Biotechnology lost $3.9M in the first quarter, or $2.94 per share. This compares to $5.0M or $20.89 a share one year earlier. This decline was partly due to lower R&D expenses compared with the same quarter in 2013.
However, general and administrative costs increased to $1.8M compared with $1.7M last year. Wall Street does not cover Vaccinex’s stock very much.
The post Vaccinex stocks fall 40% despite Alzheimer’s positive study may be updated as new information becomes available.
