Rigel Shares Tank on Arthritis Data (Update)

"While investors' 'shoot first ask questions later' mentality is understandable in the current environment, we believe upon greater analysis of the data, the selloff may prove myopic," wrote Susquehanna Financial Group's Derek Jellinek. The analyst reiterated a positive rating on shares, but lowered his price target to $23 from $30 based on the increased risk associated with the program.

"The [nearly] 40% selloff may be extreme, but given the lack of near-term positive catalysts and general market conditions, we are remaining neutral [rating], despite our $16 price objective -- a 40%appreciation from current levels," wrote Merrill Lynch's Berens, who lowered his price objective to $16 from $25 on Tuesday.

Also at the American College of Rheumatology annual meeting, Pfizer (PFE Quote) will be presenting data on its RA candidate, CP550, later Tuesday, while Incyte Pharmaceuticals (INCY Quote) presented data on its experimental RA drug earlier in the weekend.