This Day On The Street
Continue to site right-arrow
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Stocks Under $10 with 50-100% upside potential - 14 days FREE!

AstraZeneca's Results Boost Tiny Renovis

AstraZeneca (AZN) reported mixed results for a late-stage clinical trial of an experimental drug for treating stroke but said it hopes to submit the product for regulatory review during the second half of 2006.

At the same time, the shares of another company involved in the product's development were nearly doubling in heavy trading Wednesday.

The clinical trial involved Cerovive, one of the few AstraZeneca drugs in late-stage clinical development. According to preliminary results, patients taking Cerovive demonstrated statistically significant improvements compared with patients taking a placebo, according to one measurement. But when applying another standard for testing stroke patients, researchers found no significant difference between the two groups.

AstraZeneca said the results must be evaluated along with two other clinical trials now under way. The company said its applications to regulatory agencies will depend on the outcomes of all three clinical trials.

"We are encouraged by these data," said Dr. Thomas Odegren, who is directing Cerovive research at AstraZeneca. "The full potential of Cerovive will only be clear after completion of the clinical development program."

AstraZeneca is developing Cerovive under license from Renovis (RNVS), a tiny biotech company based in South San Francisco, Calif.

Cerovive is Renovis's leading product under development, and the company's stock jumped $6.51, or 96%, to $13.30 in morning trading. The stock has been as high as $15.04. Average daily volume for Renovis is about 210,000 shares, but in the first 75 minutes of trading Wednesday, more than 8.8 million shares changed hands. AstraZeneca gained 5 cents to $44.67.

Important to Both Companies

There's little doubt what Cerovive means to Renovis, but the drug also is important to AstraZeneca, whose recent research efforts have suffered setbacks. In September, a Food and Drug Administration advisory panel opposed the company's application for the experimental anticoagulant Exanta , saying the risks of liver damage outweighed the drug's benefits. The FDA backed the panel's opinion a month later.

1 of 2

Select the service that is right for you!

COMPARE ALL SERVICES
Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!

Markets

DOW 18,030.21 +6.04 0.03%
S&P 500 2,081.88 -0.29 -0.01%
NASDAQ 4,773.4720 +8.0480 0.17%

Brokerage Partners

Rates from Bankrate.com

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs