Why Shares of Editas Medicine Dropped 15.5% in November

what happened

shares of editas medicine (edit -4.10%)The clinical-stage biotech company fell 15.5% in November, according to data from . S&P Global IntelligenceThe stock closed at $12.55 in October and opened at $13 in November. He fell to $9.61 on November 17, not far from his 52-week low of $9.54. The stock is at his 52-week high of $32.37, and he’s down more than 62% year-to-date.

So what

Last month, Editas, which used its CRISPR gene-editing platform to discover a unique treatment, suspended a Phase 1/2 trial of EDIT-101 for the treatment of Leber Congenital Amaurosis Type 10 (LCA10). retina. The disease affects less than her 50,000 people in the United States. The problem with this trial was that the sample size was small (only 14 patients) and only 3 of her patients showed clinically meaningful progression. Moreover, only two of these three of hers had the type of gene mutation that responded best to treatment. And of the 50,000 people in the United States with the condition, the company estimates that only 300 have that particular mutation.

Although the termination of the clinical trial was a major concern as the company does not yet have a drug on the market, it does not mean that Editas will not continue researching EDIT-101 as a treatment for other indications. Led by EDIT-301 as a potential treatment for the inherited blood disorders sickle cell disease and transfusion-dependent beta-thalassemia, there are several other treatments in early-stage trials. The company said it plans to provide a clinical update on the Phase 1/2 RUBY trial of EDIT-301.

So

the editor said so looking for a sponsor The LCA10 trial has been put on hold to help continue development of EDIT-101, but it’s not necessarily the end of this treatment. biotechnology companies We are waiting to see what EDIT-301 looks like as clinical trials progress. His Editas collaboration revenue for the third quarter stood at his $42,000, down from his $6.2 million in the same period last year. The company reported a loss of $55.7 million ($0.81 per share) in the quarter, compared to a loss of $39.1 million ($0.57 per share) in the third quarter of 2021.

Editas has $478.5 million in cash and cash equivalents on its books, which it says will be sufficient to fund its operations through 2024. Like any clinical-stage biotechnology, Editas poses a lot of risk to investors, but he’s only ever been approved once by the Food and Drug Administration. Stock prices soar.