Today’s Research Reports on Stocks to Watch: Sorrento Therapeutics and Celgene Corporation
NEW YORK, NY / ACCESSWIRE / March 1, 2018 / Sorrento shares exploded on Wednesday after the FDA approved the company's non-opioid pain patch for nerve pain related to shingles. Shares of Celgene weren't so lucky after the FDA said it would not let the company file for approval for its relapsing multiple sclerosis drug, ozanimod.
RDI Initiates Coverage on:
Sorrento Therapeutics, Inc.
https://rdinvesting.com/news/?ticker=SRNE
Celgene Corporation
https://rdinvesting.com/news/?ticker=CELG
Sorrento Therapeutics' shares were skyrocketing on Wednesday to close up 17.75%. The stock hit a new 52-week high of $10.05 during intra-day trading after the company announced that the Food and Drug Administration (FDA) has approved the company's non-opioid painkiller patch for nerve pain related to shingles. The painkiller patch, called ZTlido, is expected to launch later this year. The drug was added to Sorrento's portfolio after it acquired a majority stake in privately held SCILEX Pharmaceuticals in 2016. It has been approved for postherpetic neuralgia, which is a common complication of shingles. The chief operating officer of SCILEX, William Pedranti, remarked, "Post herpetic neuralgia is a perfect example of why we have an opioid crisis. There's no opioids that are approved by the FDA to treat PHN (but) the number 1 prescribed product first-line is an opioid." Raghuram Selvaraju, an analyst with H.C. Wainright, said he expects U.S. sales of the drug to peak at $1.1 billion in 2025.
Access RDI's Sorrento Therapeutics, Inc. Research Report at:
https://rdinvesting.com/news/?ticker=SRNE
Celgene's shares closed down 9.04% on Wednesday and hit a new low of $87.11 during intra-day trading. Trading volume was explosive compared to average at nearly 28 million shares. The big drop came after the company announced that the Food & Drug Administration (FDA) will not let it file for approval for its relapsing multiple sclerosis drug, ozanimod. According to the FDA, the decision which was delivered by a "Refuse to File" letter was made because of insufficient sections in the drug application. Analyst Geoffrey Porges of Leerink Partners remarked, "How many self-inflicted wounds are excusable? This is yet another blow to investor (and analyst) confidence in this management team and their stewardship of the company's key operational activities. ”While Proges' remark was negative, another analyst seemed more positive. Ronny Gal of Bernstein said the issue was "resolvable." The company stated that the issue was not related to core efficacy nor safety data and that it was a non-pivotal clinical pharmacology study. According to Gal, the issue is related to "drug metabolism/elimination and risk of accumulation." Proges also stated that Celgene "clearly made a decision to file this application at risk, despite late information that might have been more thoroughly disclosed and explored in the application, had the filing been postponed by a few months."
Access RDI's Celgene Corporation Research Report at:
https://rdinvesting.com/news/?ticker=CELG
Our Actionable Research on Sorrento Therapeutics, Inc. (NASDAQ: SRNE) and Celgene Corporation (NASDAQ: CELG) can be downloaded free of charge at Research Driven Investing.
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