ACADIA Pharmaceuticals Inc. (NASDAQ: ACAD)
ACADIA Pharmaceuticals is having a strong day in the market today, and for good reason. The company has announced the launch of a newly approved treatment in the United States. Today, we’ll talk about the announcement, how the market reacted to the news, and what we can expect to see from ACAD moving forward. So, let’s get right to it…
ACAD Launches NUPLAZID In The United States
As mentioned above, ACADIA Pharmaceuticals is having a relatively strong day in the market today after announcing that it has launched NUPLAZID, a recently approved prescription treatment in the United States. NUPLAZID is designed as a way to treat hallucinations as well as delusions in patients that are suffering from Parkinson’s disease psychosis. It is clear that ACAD is moving quickly here as the treatment was approved by the FDA only a month ago on April 29th! In a statement, Neal Hermanowicz, M.D., Health Sciences Clinical Professor in the Neurology department at the UC Irvine School of Medicine and Director of the UC Irvine Movement Disorders Program had the following to offer…
“I am delighted that we now have an effective and FDA-approved therapy for patients with hallucinations and delusions associated with Parkinson’s disease psychosis… In the pivotal Phase III study of NUPLAZID, we observed significant reductions in the severity and frequency of hallucinations and delusions in patients with Parkinson’s disease psychosis. Important, these benefits were achieved without impairing motor function.”
Following up on that statement, Steve Davis, ACAD CEO and President had the following to offer…
“We believe NUPLAZID fills an important therapeutic gap as the first FDA-approved treatment for patients afflicted with hallucinations and delusions associated with Parkinson’s disease psychosis… We are excited to bring this new treatment option to patients living with the challenges of this debilitating condition.”
How The Market Reacted To The News
As investors, we know that the news moves the market. Any time positive news is released with regard to a publicly traded company, we can expect to see gains in the value of the stock associated with that company. In this particular case, the news surrounding ACADIA Pharmaceuticals was overwhelmingly positive. However, the market is not a great place to be right now. With the Dow, S&P, and NASDAQ all experiencing losses today, ACAD isn’t getting the chance it deserves to grow. Currently (12:20), the stock is trading at $35.47 per share after a loss of $0.14 per share or 0.38% thus far today.
What We Can Expect To See Moving Forward
Moving forward, I have an overwhelmingly bullish opinion of what we can expect to see from ACADIA Pharmaceuticals. First and foremost, NUPLAZID is the first and only approved drug to treat hallucinations and delusions associated with Parkinson’s Disease Psychosis. With no impairment to motor function, I could imagine that this treatment is going to be incredibly popular. However, NUPLAZID isn’t the only reason that I have a bullish opinion of ACAD. The reality is that the company has a long line of strong products, a great pipeline, strong management, and a strong team. With this combination, it simply doesn’t make sense that we would see declines in the value of the stock moving forward.
What Do You Think?
Where do you think ACAD is headed moving forward and why? Let us know your opinion in the comments below!