Revelation Biosciences (NASDAQ:REVB) stock is up 91% today, and searches for REVB stock are trending. The drug maker reported that its treatment for hay fever, REVTx-99b, had met its primary endpoint in a Phase 1b trial. The company made the announcement on Friday after the stock market closed.
The trial’s primary endpoint was safety and tolerability, and the study did indicate that Revelation’s drug was safe and tolerable.
However, REVTx-99b did not meet secondary endpoints that were related to its efficacy as a treatment for hay fever. In other words, multiple data points suggested that REVTx-99b does not relieve the symptoms of hay fever more effectively than a placebo does.
“Revelation management plans to evaluate future development of this and other ongoing programs,” the company reported.
The Second Miss on Efficacy This Year
In March, the company announced that, in a Phase 2b trial that there were no indications that its treatment for influenza, REVTx-99a, had reduced the viral load of 30 flu patients. Moreover, “the preliminary results suggest the difference between REVTx-99a and placebo was not statistically significant,” Revelation reported at the time.
The company suggested that it was giving up on its flu treatment candidate. Specifically, CEO, James Rolke, said in a statement that:
We remain committed to the development of our other product candidates including REVTx-99b for management of allergic rhinitis and other underlying conditions; and REVDx-501, our universal at home screening test for respiratory viral infection.
However, Rolke did not state that Revelation would continue to pursue its flu treatment.
The Bottom Line on REVB Stock
“With two trial flounders in recent months, Revelation’s operations are murky,” wrote Kyle LaHucik, the associate editor of Endpoints News today.
LaHucik’s statement is both accurate and concerning. Indeed, given the lack of efficacy demonstrated so far by the company’s products, I find it hard to understand why REVB stock is climbing at all today, let alone nearly doubling in value.
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On the date of publication, Larry Ramer did not hold (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.
