Why Is Cancer-Focused G1 Therapeutics Stock Trading Lower On Monday?
Portfolio Pulse from Vandana Singh
G1 Therapeutics Inc (NASDAQ:GTHX) shares are trading lower after the company released topline results from its Phase 3 PRESERVE 2 trial for trilaciclib in metastatic Triple Negative Breast Cancer (TNBC). The study did not show a statistically significant treatment effect, leading to a 33.1% drop in GTHX shares. The company plans to wind down the trial, discontinue hiring for a 1L TNBC indication, and make targeted headcount reductions to achieve profitability by the second half of 2025.
June 24, 2024 | 1:40 pm
News sentiment analysis
Sort by:
Ascending
NEGATIVE IMPACT
G1 Therapeutics' shares fell 33.1% after the Phase 3 PRESERVE 2 trial for trilaciclib in TNBC did not show a statistically significant treatment effect. The company plans to wind down the trial, discontinue hiring for a 1L TNBC indication, and make targeted headcount reductions to achieve profitability by the second half of 2025.
The lack of statistically significant results in the Phase 3 trial is a major setback for G1 Therapeutics, leading to a significant drop in share price. The company's decision to wind down the trial and make cuts indicates a shift in strategy to focus on profitability, which may stabilize the stock in the long term but is negative in the short term.
CONFIDENCE 95
IMPORTANCE 90
RELEVANCE 100