Chimerix Inc (CMRX) Shares Plummet After Disappointing Phase 3 Brincidofovir Results


Shares of Chimerix Inc (NASDAQ:CMRX) are trading down over 77% in the pre-market this morning after the company announced a disappointing Phase 3 SUPPRESS trial of their drug brincidofovir. According to the company, the drug did not significantly reduce the numer of cytomegalovirus (CMV) infections in patients undergoing hematopoietic cell transplantations (HCT).

“While we are clearly disappointed in the top-line results from SUPPRESS, we remain committed to better understanding the full data set as we consider potential paths forward for brincidofovir,” said M. Michelle Berrey, M.D., MPH, President and CEO of Chimerix. “With a strong cash position, an experienced leadership team, and brincidofovir patent exclusivity through 2034, we continue to believe there is a viable path forward for the development of brincidofovir.”

While Chimerix’s (NASDAQ:CMRX) work with the drug certainly isn’t over, investors seem to be realizing the potentially high mountain the company will now need to climb to overcome these recent results. The stock closed at $35.57 during the last trading session. It is down 17.07% since May 22, 2015 and is downtrending. It has underperformed the S&P500 by 14.01%.

From a total of 6 analysts covering Chimerix Inc (NASDAQ:CMRX) stock, 5 rate it a “Buy”, 0 a “Sell”, and 1 a “Hold”. This means that 83% of the ratings are positive. The highest target price is $63 while the lowest target price is $50. The mean of all analyst targets is $56.25 which is 58.14% above today’s ($35.57) stock price. Chimerix Inc was the topic of 6 analyst reports since August 5, 2015 according to the firm StockzIntelligence Inc. UBS initiated shares on December 17 with a “Buy” rating. Citigroup initiated CMRX stock in a recent report from September 3 with a “Buy” rating. Finally, Brean Capital maintained the stock with a “Buy” rating in a report they issued on an August 6.

The institutional sentiment decreased to 1.47 in Q2 2015. It’s down 0.73, from 2.2 in 2015Q2. The ratio dropped, as 24 funds sold all their Chimerix Inc shares they owned while 40 reduced their positions. 27 funds bought stakes while 67 increased their total positions. Institutions now own 50.58 million shares which is 24.74% more than the previous share count of 40.55 million in 2015Q2.

New Leaf Venture Partners L.L.C. holds 11.76% of its total portfolio in Chimerix Inc, equating to 355,007 shares. Oracle Investment Management Inc owns 986,421 shares representing 7.71% of their total US portfolio. Moreover, Opaleye Management Inc. has 5.83% of their total portfolio invested in the company, equating to 310,000 shares. The New York-based Aisling Capital Llc has a total of 4.85% of their portfolio invested in the stock. Biondo Investment Advisors Llc, a Pennsylvania-based fund reported 223,374 shares owned.

Since April 3, 2015, the stock had 0 buys, and 4 selling transactions for a total of $1.66 million in net activity. Demski Martha J sold 2,000 shares worth $75,368. Trost Timothy W. sold 28,000 shares worth $1.40 million.

Chimerix, Inc. a biopharmaceutical company dedicated to discovering, developing and commercializing oral antivirals. The company has a market cap of $1.64 billion. The Company’s lipid conjugate technology has developed its lead compound, brincidofovir , which is in Phase III clinical development. It currently has negative earnings. It is clinical-stage nucleotide analog lipid-conjugate which has demonstrated potent antiviral activity and safety in convenient, orally administered dosing regimens.