Why Alnylam Pharmaceuticals (ALNY) Stock is Down Today

NEW YORK (TheStreet) -- Alnylam Pharmaceuticals  (ALNY) dipped Monday amid reports that Novartis  (NVS) is closing a significant portion of its RNAi research endeavors in Boston.

FierceBiotech reported the pharmaceutical giant's confirmation that ongoing problems in delivering such therapies tied to the limited number of potential relevant targets led to the move. 

"We have decided to significantly reduce our internal drug discovery efforts in RNA therapeutics," Novartis told FierceBiotech in a statement. "This decision was driven by ongoing challenges with formulation and delivery and the reality that the current range of medically relevant targets where siRNA may be used is quite narrow.  In the future we will have a small group working in this field and look for partnering opportunities."

Alnylam suffered in the wake of the news, as Novartis' program emerged from a partnership with Alnylam, one of the leaders in the RNAi drug development field. The stock fell more than 4.5% to a low of $52.02 for the day as of 3:12 p.m. on Monday.

Must Read: Warren Buffett's 10 Favorite Growth Stocks

STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12 months. Learn more.

ALNY Chart

ALNY data by YCharts

STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12 months. Learn more.

Editor's Note: Any reference to TheStreet Ratings and its underlying recommendation does not reflect the opinion of TheStreet, Inc. or any of its contributors including Jim Cramer or Stephanie Link.

More from Markets

A Hungry Grizzly Bear Is Stalking the Stock Market

A Hungry Grizzly Bear Is Stalking the Stock Market

Tesla Has Lost 15% Since Musk's Take-Private Tweet

Tesla Has Lost 15% Since Musk's Take-Private Tweet

Why Most Americans Like a Volatile Stock Market: Study

Why Most Americans Like a Volatile Stock Market: Study

Should Retirees Invest in the Tech Sector?

Should Retirees Invest in the Tech Sector?

Here's How to Trade Walmart, Nordstrom, Macy's and J.C. Penney After Earnings

Here's How to Trade Walmart, Nordstrom, Macy's and J.C. Penney After Earnings