Shares of Acadia (ACAD) - Get Reportwere up as much as 13% earlier Tuesday after the bio-pharmaceutical company reported positive results for a drug used for Alzehimer's patients that helps to reduce psychosis, the company said. The study was performed on 181 patients with the drug Pimavanserin.
Acadia's president and CEO said that Alzheimer's disease patients "suffer from a number of debilitating symptoms, of which psychosis carries a poor prognosis and is associated with earlier placement into nursing homes." He said this study provides solid evidence that this drug can improve psychosis.
However, TheStreet's Adam Feuerstein says he is skeptical of the drug's success, saying the company used "shifting endpoints and an efficacy threshold so low that basically any drug activity at all, no matter how meaningless or fleeting, could be deemed a success."