Miami-based biotech firm Opko Health Inc. (NASDAQ:OPK), announced disappointing late-stage clinical trial results of a pharmaceutical product.
Opko Health Inc. (NASDAQ:OPK) stock plunged close to 20% following the report.
According to reports The Phase 3 sample of hGH-CTP, a human growth hormone drug, failed to produce an arithmetical difference from its placebo, the company said. Though, Opko Health added that outliers may have innfluenced the outcome and test patients will be studied again.
Meanwhile in progress is a Phase 3 study using children as test subjects, intended at gauging hGH-CTP’s efficiency in kids in lieu of daily injections of Genotropin, a prescription therapy for children and adults with growth issues.
As a whole, one of South Florida’s largest public companies Opko’s stock have surged 14 percent on the year, outperforming the S&P 500, which has grown 10 percent. Recently, the company was added to an exclusive Nasdaq index for biotech firms whose market capitalization, average trading volumes and other markets exceeded a designated threshold, indicating its robust path.
Nonetheless, Opko Health has bump into a spell of bad news in recent months, posting a $15 million loss in its third quarter, topping Wall Street outlooks of an even bigger slump but churning out figures smaller than the similar quarter year over year.
Furthermore one of the key Medicare administrative contractor also gave Opko’s prostate cancer screening test a “no coverage” decision in October, sending shares spiraling.
Moreover Opko Health Inc. (NASDAQ:OPK) also broke into the pet merchandises market, valued at about $60 billion in the U.S. by some estimates, in partnership with its foreign counterparts, Opko Spain and Opko Ireland.