A second poor performing Monday for Seattle Genetics, Inc. (NASDAQ: SGEN) as the company has failed to impress investors in its Phase 3 results for ADCETRIS. Shares are down 10% to 55.54 midday after falling as far as 54.71 after the company released a less than satisfactory progression free survival (PFS) rates when compared to industry standards.
After discontinuing a Phase 3 trial for SGN-CD33A last week over concerns of increased risk of death, and subsequently falling 9% last Monday, the company took another hit after seemingly recovering last week. When compared to the control, an industry standard for Hodgkin’s Lymphoma with a PFS rate of 77.2%, ADCETRIS only came in with an 82.1% rate. Although that is statistically meaningful in terms of science, it was less than impressive for investors. The relatively small increase in effectivity results in a cost concern, as the increase may not be enough to sway customers to change drugs. The results do however show promise as the chemical known as bleomycin is not present in ADCETRIS, but is found in the control. Bleomycin is relatively high in toxicity and doctors have long been looking for a way to squeeze it out of chemotherapy.