Health Winners & Losers: Altus

Health stocks were mixed to slightly down with regulatory and clinical updates making a few headlines on Tuesday.

Gilead Sciences(GILD Quote) said late Monday that the FDA cleared its HIV drug Viread for chronic hepatitis B in adults. The approval was expected -- the drug outperformed the company's Hepsera, the leading HBV treatment, in clinical trials and is expected to take over its market share.

Gilead shares were up 67 cents, or 1.2%, to $57.10.

In more regulatory news, Pain Therapeutics(PTIE Quote) and King Pharma (KG Quote) said Tuesday that the Food and Drug Administration granted priority review to Remoxy, an investigational, controlled-release version of pain drug oxycodone that is designed to be abuse resistant. The FDA grants the speedy review to drugs that could potentially offer a significant improvement to currently marketed products. The agency's goal for completing a priority review drug is six months from the date the application was submitted, in this case June 10.

Pain Therapeutics shares were up 71 cents, or 8.4%, at $9.14, while King's added 14 cents, or 1.3%, to $11.29.

On the clinical side, Altus(ALTU Quote) gave up $2.44, or 49.39%, to $2.50 after the company announced top-line results from a late-stage trial on its Trizytek in patients with cystic fibrosis. The trial met its goal, but results fell short of Street expectations.

In postclose earnings Monday, Medivation(MDVN Quote) reported a net loss of $18.5 million, or 64 cents a share, widened from a loss of $7.2 million, or 26 cents a share a year prior. Analysts surveyed by Thomson Reuters had predicted a loss of 54 cents a share from Medivation, which recorded no revenue during the quarter. The company also said that it now expects operating expenses in 2008 in the range of $65 million to $75 million, up from prior guidance of between $55 million and $65 million.