Alnylam Pharmaceuticals (ALNY) stock rocketed to a seven-month high Monday after a Phase 3 trial from rival Ionis Pharmaceuticals (IONS) derisked a key Alnylam drug while indicating serious safety questions for Ionis' drug.
On the stock market today, Alnylam stock spiked 16.3% to 66, touching a high last achieved in October 2016. Meanwhile, Ionis stock sank 6.75% to 43.90, off intraday lows for 41.05.
Both Alnylam and Ionis are working on drugs to treat familial amyloid polyneuropathy, a disease in which the autonomic nervous system is compromised by the misfolding or aggregation of the transthyretin protein, also known as TTR.
Ionis' drug, inotersen, achieved both its goals in a Phase 3 study, the company said Monday. But the study also uncovered three serious cases of thrombocytopenia, a deficiency of platelets in the blood. One patient died of a hemorrhage in the brain.
Four patients discontinued treatment due to kidney issues. One discontinued due to a nonserious case of thrombocytopenia, Ionis said. Enhanced monitoring was added to the trial to detect and manage thrombocytopenia and renal issues.
"All five serious adverse events occurred before enhanced monitoring was fully implemented," Ionis said in a news release. "A detailed review of safety data from the study is ongoing."
IBD'S TAKE: Ionis stock has an IBD Composite Rating of 82, meaning it outperforms more than eight in 10 stocks in terms of key growth metrics. Still, it lags better performers like Biospecifics Technologies (BSTC) and Supernus Pharmaceuticals (SUPN) which have CRs of 98 and 96, respectively, out of a best-possible 99. Head to IBD Stock Checkup for a look at the top biotech leaders.
The results of Ionis' trial offer a strong read-through on Alnylam's drug, patisiran, Leerink analyst Paul Matteis said in a note to clients. Patisiran works via the same mechanism as inotersen, but its Phase 3 study was longer and the drug showed a greater benefit.
"Thus, the result this morning virtually de-risks patisiran, barring an unexpected safety concern for Alnylam's drug," Matteis wrote. He expects patisiran to grab a greater piece of the familial amyloidosis polyneuropathy market.
Ionis' top-line data is "clearly showing efficacy but questionable program-specific safety issues." This may be a "best case scenario" for Alnylam, he wrote. But Matteis has market perform ratings on both Ionis and Alnylam stocks.
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