Dallas, Texas 02/11/2014 (FINANCIALSTRENDS) – Ariad Pharmaceuticals, Inc.(NASDAQ:ARIA) is the Cambridge, USA based oncology therapeuticcompany which offers differentiated products and services.
Ariad Pharmaceuticals, Inc.(NASDAQ:ARIA) fundamentally is a bio-tech stock which rides the markets on the basis of the success of its leukemia treatment drug-Iclusig. The drug has had brief run-ins as patients reported blood clots. The stock is believed to have crashed following the hold the FDA placed on this drug due to the adverse effect.
Ariad Pharmaceuticals, Inc.(NASDAQ:ARIA) however, was allowed to market the drug under EMA with a revised labelling. Soon the FDA too again chose to authorize the drug with a more rigours label.
Ariad Pharmaceuticals, Inc.(NASDAQ:ARIA) has proved to resilient. The drop in shares the company has recovered by over 200%. The predictable comeback was based on Iclusig’s market access and growth. The bulk of the stock movement was largely due to public speculation.
Ariad Pharmaceuticals, Inc.(NASDAQ:ARIA) fundamentals are average and investors are required to look deeper. Iclusig has failed as a last resort and doesnot offer much relief beyond that. There are no indications of the label revisions as well. It is now proposed that this drug will no longer be the drug of the future. Though, it is recognized to deliver over $300 million in a year, the shares of the company is not expected to offer much higher growth. FDA is not able to indicate future growth.
Iclusig is approved for conditions which are considered to be as terminal. All other treatment types are working below capacity. The experimental drugs isalso considered as a mid-stage trial. Additionally, the non-small cell for lung cancer, is also treated by this drug, however it remains to be an experiment and not a hundred per cent cure. There are unconfirmed news of buyout which are not be considered by investors.