Analysts: Celgene Arthritis Drug Could Sell Well

NEW YORK (AP) — Wall Street analysts on Tuesday said Celgene Corp.'s developing arthritis drug apremilast has the potential to become a key competitor in a market full of blockbusters, following positive midstage study data on the experimental treatment.

Late Monday, the Summit, N.J.-based company said the oral drug candidate met study goals in a Phase II clinical trial as it relieved symptoms of psoriatic arthritis. The condition is a form of arthritis affecting psoriasis patients. Psoriasis is a chronic immune disease that causes painful, red scaly patches to develop on the skin.

The drug candidate helped relieve joint pain, stiffness, and swelling associated with the condition. Celgene plans on moving ahead to late-stage studies on the drug candidate.

Leerink Swann analyst Howard Liang reaffirmed an "Outperform" rating on the stock, citing the results, though he remained somewhat cautious on how it might fare against current blockbuster treatments in the market.

The company's results late Monday showed that 43.5 percent of the patients who took apremilast in 20-milligram doses twice per day experienced 20 percent improvement, and among patients who took a 40-milligram dose once per day, 35.8 percent reported at least that level of improvement. Celgene said 11.8 percent of placebo patients reported 20 percent improvement.