Neurocrine Biosciences, Inc. (NBIX) Stock | Positive Phase 3 Results


Neurocrine Biosciences, Inc.  (NASDAQ: NBIX)


Neurocrine Biosciences, Inc.  (NBIX), a pharmaceutical company announced positive results from Phase 3 study of NBI-98854. NBI-98854 is used for the treatment of tardive dyskinesia. Tardive dyskinesia is the involuntary movement of extremities and limbs and these symptoms are rarely reversible as there is no current approved treatment. The study which reached its primary endpoints showed that NBI-98854 had a statistically significant reduction in tardive dyskinesia compared to the placebo treatment.


Neurocrine Biosciences, Inc. CEO Comments

“We are very pleased with the outstanding efficacy and side effect profile demonstrated by NBI-98854 in the Kinect 3 study. The efficacy data from this pivotal Phase III study completes our placebo-controlled dataset for NBI-98854 in tardive dyskinesia,” saidKevin C. Gorman, President and Chief Executive Officer of Neurocrine. “We will now turn our focus to completing the open-label safety portion of the studies in tardive dyskinesia patients and compiling the data for both doses of NBI-98854 to be included in the New Drug Application we intend to file with the FDA in 2016.”  PR Newswire


NBIX Technical Analysis


NBIX gapped up in price yesterday to $46.25, up from the prior day’s close of $38.93, which is a 19% increase in price based on favorable news. Taking a look at the daily chart, we can see the last time the stock traded above this price level was on September 23rd when the stock closed at $47.28. Taking a further look back on the daily chart, we can see the stock has been on a steep decline since September 18th when it was trading at $54.90. The stock reached lows of $33.61 on September 28th equivalent to a 38% drop in price. Over the past two weeks, NBIX has rebounded from those lows but has not broken through the $45 price level until yesterday’s gap up in price. As we can see, the stock has been very volatile in the past month of trading. The stock traded pm 2.5 times the normal daily trading volume. The stock did reach pre market highs of $52 meaning that it gave back $5.75 at the open equivalent to 11%. For trading purposes, my entry point would have been $46.50 looking for a move through $47. My stop loss would have been $46.20 fearing anything below that and the stock would start to fill in the gap up.


Company Profile

Neurocrine Biosciences, Inc. discovers and develops pharmaceuticals for the treatment of neurological and endocrine-related diseases and disorders in the United States. The company’s products in clinical development stage include elagolix, which is in Phase III study for endometriosis; elagolix that is in Phase IIb study for uterine fibroids; Corticotropin-Releasing Factor Receptor1 Antagonist, which is in Phase I/II study for congenital adrenal hyperplasia and stress-related disorders; and Vesicular Monoamine Transporter 2 Inhibitor (VMAT2) that is in Phase III study for movement disorders, as well as Phase I study for tourette syndrome. Its research programs comprise VMAT2 for movement disorders, bipolar disorders, and schizophrenia; gonadotropin-releasing hormone (GnRH) antagonists for men’s and women’s health, and oncology; antiepileptic drugs for epilepsy, essential tremor, and pain; and G Protein-Coupled receptors for other conditions. The company also develops pharmaceutical products for tardive dyskinesia, and other neurological and endocrine-related diseases and disorders. It has collaborations with AbbVie Inc. to develop and commercialize elagolix and GnRH antagonists for women’s and men’s health; and Dainippon Sumitomo Pharma Co. Ltd. to develop and commercialize indiplon in Japan. Neurocrine Biosciences, Inc. was founded in 1992 and is headquartered in San Diego, California.  Yahoo Finance