Apellis Pharmaceuticals Inc. (APLS) experienced a significant boost in premarket trading, with shares jumping 8% on Tuesday. The surge came after competitor Iveric Bio, a subsidiary of Astellas Pharma Inc. (ALPMY), released the results of a trial for their treatment of geographic atrophy, a form of age-related macular degeneration.
Uncertainty Surrounds Izervay's Efficacy and Safety
Raymond James analysts voiced concerns about Izervay's efficacy and safety based on the new data. In a note published on Monday, they highlight that the treatment's effectiveness remains uncertain, while safety issues seem to have worsened.
Apellis' Syfovre Treatment Earns FDA Approval
Despite these concerns, Apellis Pharmaceuticals maintains a strong buy rating. Their geographic atrophy treatment, Syfovre, received approval from the U.S. Food and Drug Administration earlier this year. However, it too has faced scrutiny due to safety concerns.
Identifying the Root Cause
In an effort to address these safety concerns, Apellis recently identified a specific type of needle as a potential cause for the inflammation seen as a rare but serious side effect in the eye treatment. These findings provide valuable insights in mitigating risks associated with the retinal vessels.
Apellis' shares have experienced a 9% decline year-to-date. In contrast, the S&P 500 (SPX) index has demonstrated a 16% gain over the same period.