NEW YORK (TheStreet) -- ACADIA Pharmaceuticals (ACAD) shares are up 12.9% to $27.07 on Tuesday after the company announced that its Parkinson's disease psychosis treatment NUPLAZID was granted a Breakthrough Therapy designation from the FDA.
Drugs meeting the FDA Breakthrough Therapy requirements must treat life threatening diseases and should have preliminary clinical evidence demonstrating a substantial improvement over current treatment options.
The FDA reserves the right to expedite the review process for drugs meeting this criteria and ACADIA plans to submit the drug to the FDA for approval later this year.
TheStreet Ratings team rates ACADIA PHARMACEUTICALS INC as a Sell with a ratings score of D. TheStreet Ratings Team has this to say about their recommendation:
"We rate ACADIA PHARMACEUTICALS INC (ACAD) a SELL. This is driven by several weaknesses, which we believe should have a greater impact than any strengths, and could make it more difficult for investors to achieve positive results compared to most of the stocks we cover. The company's weaknesses can be seen in multiple areas, such as its feeble growth in its earnings per share, deteriorating net income, disappointing return on equity and weak operating cash flow."
Highlights from the analysis by TheStreet Ratings Team goes as follows:
- You can view the full analysis from the report here: ACAD Ratings Report
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