Biogen Inc (BIIB), the biotech company, which has been involved in clinical trials for its lead Alzheimer’s disease candidate, aducanumab, presented data on the drug last week. Although the fate of this candidate is unclear, some investors saw the update as a positive factor.
Biogen released an update on Friday, January 29th, on its application for licensure for its aducanumab candidate as a potential treatment for Alzheimer’s disease. There were no details provided concerning the update, but many investors saw the news as positive. Due to this, BIIB shares gained more than 5% on Friday.
Despite the difficulty, aducanumab’s history should be considered. Biogen Inc (BIIB) abandoned the drug’s development in 2019 for failing to achieve several of its targets. Nevertheless, analysis of the available data revealed that aducanumab did reduce cognitive impairment in Alzheimer’s disease, as reported by Biogen. As a result, the company applied to FDA and received approval as an experimental candidate with priority review. The application is expected to be reviewed in June 2021. Additionally, Biogen added additional analyses and clinical data which the FDA saw as significant additions to the application.”
Stifel analysts viewed the Biogen information as an encouraging sign. The company changed its recommendation for the shares from “hold” to “buy” and raised its target.” The drug’s history can be a bit shaky, but some analysts are urging caution about it.
Biogen Inc (BIIB) aducanumab has enormous market potential, but it will receive a much-needed drug if it is approved. There are no effective drugs available for treating this condition due to the aging populations in developed countries. This means that the company, which introduces the first drug to reduce the symptoms of Alzheimer’s disease, can be profitable in a relatively short time frame.