In what may be a classic case of “buy-the-rumor-sell-the news,” Supernus Pharmaceuticals Inc (NASDAQ:SUPN) has fallen sharply after it announced positive results from clinical trial of SPN-812 for the treatment of attention deficit hyperactivity disorder (ADHD) in children.
On Wednesday, a day after the announcement, shares in Supernus Pharmaceuticals Inc (NASDAQ:SUPN) were down 6.35% to $21.54 after trading 1.36 million shares.
On Tuesday, the day of the announcement, shares had a touched a high of $26.19, but ended the day at $23.00, down 7% from the previous close.
Smart money that likely bought into the stock earlier may have cashed in its chips.
Supernus is a specialist biopharmaceutical company developing treatments for central nervous system diseases.
Supernus Pharmaceuticals Inc (NASDAQ:SUPN): Positive topline results from SPN-812
The company said the SPN-812 trial was successful in meeting its primary endpoint, exhibiting a statistically significant reduction in ADHD symptoms, and confirming its efficacy and tolerability.
“Based on these positive results in children with ADHD and the positive Phase IIa results in adults with ADHD, Supernus plans to have an end-of-Phase II meeting with the U.S. Food and Drug Administration (FDA) after which it will initiate Phase III clinical testing,” the company said.
Supernus Pharmaceuticals Inc (NASDAQ:SUPN): beats in Q2
In August, Supernus reported Q2 EPS of $0.18, which beat by $0.05, and revenue of $50.4 million which beat by $0.73 million.
Net sales was up 46.9% year on year, driven by a 43.3% jump in sales of Trokendi XR and a 58.7% jump in sales of Oxtellar XR.
“The solid growth in prescriptions behind our products three years post launch reinforces our belief that the combined annual peak sales for Oxtellar XR and Trokendi XR can exceed $500 million,” said Jack Khattar, President and CEO of Supernus Pharmaceuticals at the time.
Supernus carried cash and cash equivalents of $128 million and only $6.6 million outstanding debt comprising its 7.5% six-year $90 million notes.
The company will declare its Q3 2016 results on November 3.