Oncomed Pharmaceuticals Inc (OMED) Shares Tumble 42% on Negative Phase 2 Report


Shares of Oncomed Pharmaceuticals Inc (NASDAQ:OMED) are down big this morning after the company announced that their Phase 2 tarextumab ALPINE pancreatic cancer clinical trial has hit a bit of a snag — to say the least. The independent data safety monitoring board (DSMB) found that there was a statistically significant worsening of response rate and progression-free survival in each of the study’s Notch biomarker subgroups. Also the study showed that there is a low chance of their treatment achieving overall survival benefits based on what the DSMB reviewed.

Additionally a conference call was held this morning at 8:30 AM. The rebroadcast of the call will be available until February 15, 2016 via the OncoMed website.

Obviously this is bad news for investors, and the stock is responding accordingly today. The stock is down 42.06% or $7.39 following the news, hitting $10.18 per share. About 550,912 shares traded hands or 234.24% up from the average. OMED has declined 32.21% since June 18, 2015 and is downtrending. It has underperformed the S&P500 by 21.20%.

From a total of 2 analysts covering OncoMed Pharmaceuticals (NASDAQ:OMED) stock, 1 rate it a “Buy”, 0 a “Sell”, and 1 a “Hold”. This means that 50% of the ratings are positive. The highest target price is $40 while the lowest target price is $28. The mean of all analyst targets is $34 which is 233.99% above today’s ($10.18) stock price. OncoMed Pharmaceuticals was the topic of 4 analyst reports since September 9, 2015 according to the firm StockzIntelligence Inc. Mizuho maintained shares on January 6 with a “Neutral” rating.

The institutional sentiment decreased to 2 in Q2 2015. It’s down 0.70, from 2.7 in 2015Q2. The ratio fall, as 7 funds sold all their Oncomed Pharmaceuticals Inc shares they owned while 16 reduced their positions. 11 funds bought stakes while 35 increased their total positions. Institutions now own 8.28 million shares which is 3.72% less than the previous share count of 8.60 million in 2015Q2.

Bvf Inc Il holds 4.61% of its total portfolio in Oncomed Pharmaceuticals Inc, equating to 1.38 million shares. Iguana Healthcare Management Llc owns 125,000 shares representing 0.82% of their total US portfolio. Moreover, Birchview Capital Lp has 0.7% of their total portfolio invested in the company, equating to 58,689 shares. The California-based Apex Capital Llc has a total of 0.63% of their portfolio invested in the stock. Brave Asset Management Inc, a New Jersey-based fund reported 46,650 shares owned.

Since March 12, 2015, the stock had 2 buys, and 2 insider sales for a total of $23,315 in net activity. Lasersohn Jack W bought 11,210 shares worth $179,512. Dupont Jakob sold 2,500 shares worth $55,622. Gurney Austin sold 14,000 shares worth $292,359. Hager Alicia J. sold 1,800 shares worth $37,800. The insider Hoey Timothy sold 5,000 shares worth $130,337.

OncoMed Pharmaceuticals, Inc. is a clinical development-stage biopharmaceutical company. The company has a market cap of $306.51 million. The Firm focuses on discovering and developing protein therapeutics targeting cancer stem cells (CSCs). It currently has negative earnings. The Company’s product candidates target CSCs by blocking self-renewal and driving differentiation of CSCs toward a non-tumorigenic state, and also impact bulk tumor cells.