Sage Therapeutics News: SAGE Stock Dives 60% on Depression Study Failure

Sage Therapeutics (NASDAQ:SAGE) is in the news Thursday as SAGE stock takes a dive following depressing results from a study.

Sage Therapeutics News: SAGE Stock Dives 60% on Depression Study Failure

Source: Shutterstock

The results are for a study evaluating the effectiveness of Sage-217 to treat depressive symptoms in adults with major depressive disorder. Unfortunately, a Sage Therapeutics news release says it did not reach its primary endpoint.

This study uses the 17-item Hamilton Rating Scale for Depression to gauge effectiveness. A score of 15 was needed to meet the primary endpoint of the study. However, Sage-217 only achieved a mean score of 12.6. That looks especially bad when the control placebo scored an 11.2.

Jeff Jonas, M.D., CEO of SAGE, says this in the Sage Therapeutics news release.

“Notwithstanding the finding on the primary endpoint, the drug displays good activity on most measures. We understand that drug development is an iterative process. In this study, we’ve gathered new data on SAGE-217, data we believe support our hypothesis that SAGE-217 has a unique profile with the potential for rapid and robust onset with durable effect.”

The Sage Therapeutics news release also notes that this isn’t the only study looking over Sage-217. There are another five studies concerning the drug. Two of these already have positive results and the remaining three are still ongoing.

SAGE stock was down 59.65% as of Thursday afternoon. This more than erases any positive results for the stock since the start of the year.

As of this writing, William White did not hold a position in any of the aforementioned securities.

Article printed from InvestorPlace Media,

©2021 InvestorPlace Media, LLC