Researchers from Translate Bio (TBIO) have released clinical trial data on an experimental cystic fibrosis therapy that is safe but does not treat the disease. A report in Barron’s referred to the results of this study.
With this news backdrop, the value of biotech shares dropped by almost 32%, to $ 17.76 per share.
The lungs are affected by Cystic Fibrosis, a genetic condition caused by abnormal production of CFTR proteins. There is a strong possibility that messenger RNA therapy could help correct this disease. The disease affects between 70 thousand and 100 thousand people in the world.
A recent study, published in 2019 by Translate Bio, examined the effect of a single dose of the messenger RNA candidate drug on lung function.
Fourteen patients were enrolled in trials that included continuous drug usage. This medication turned out to be safe and does not cause any serious side effects. There were no noticeable changes in the lungs of patients receiving treatments.
Translate Bio could offer little hope for a cure for cystic fibrosis, according to investment bank SVB LeerinkPorges. According to the expert, “it’s hard to consider the prospects of the program in the absence of knowing why and how the treatment failed to work … [and] why it didn’t work,” He lowered his $ 33 target price for Translate Bio shares to $ 21.
The company seeks to develop a messenger RNA vaccine similar to the one Moderna used with its coronavirus vaccines. Besides, Translate Bio, along with Sanofi, is testing a vaccine against COVID-19 – results will be presented in the third quarter of 2021.
TBIO closed at $17.76 on Thursday in regular trading after falling by $7.94 during the regular session. Yesterday Translate Bio Inc. (TBIO) stock has a trading volume of 7.43 million shares, which is high compared to its average daily volume of 1.12M shares.