Cassava Sciences (NASDAQ:SAVA) stock is on the move Wednesday as investors react to reports of a U.S. Securities and Exchange Commission (SEC) investigation.
According to the recent reports, Cassava Sciences is facing this investigation over data in its Alzheimer’s drug trial. The investigation seeks to determine if the company manipulated data in its Alzheimer’s drug trial.
What’s interesting about this is that we already know Cassava Sciences is complying with requests by some government agencies for documents. It revealed as much during an SEC filing a few days ago. That adds credence to the claims in the reports that come from people close to the matter.
It’s also not just the SEC that is seeking information from Cassava Sciences. The National Institutes of Health (NIH) is also reportedly investigating claims about data manipulation in the Alzheimer’s drug study.
That makes sense as the NIH helped fund that study. The agency provided Cassava Sciences and its partners with $20 million in funding so they could move forward with their clinical trials and drug development, reports Seeking Alpha.
No matter what happens, today’s news isn’t good for SAVA stock. The talk of an SEC investigation has shares of SAVA stock experiencing heavy trading. As a result, some 9 million shares have changed hands as of this writing. That’s already above the company’s daily average trading volume of about 8.4 million shares.
SAVA stock is down 21.5% as of noon Wednesday but is still up 583.3% since the start of the year.
Investors seeking out more recent stock market news today are in luck!
We’ve got them covered with our daily insight into the stock market. For Wednesday, that includes everything they need to know about the Braze (NASDAQ:BRZE) IPO, what has Arrival (NASDAQ:ARVL) falling, as well as the latest on Camber Energy (NYSEAMERICAN:CEI). You can find all of these stories at the links below!
More Wednesday Stock Market News
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On the date of publication, William White did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.