Latest news with #CompassPathwaysPlc
Yahoo
23-06-2025
- Business
- Yahoo
Compass's Psychedelic Drug to Treat Depression Meets Goal in Trial
(Bloomberg) -- Compass Pathways Plc's shares plummeted after its psychedelic drug to treat a form of depression disappointed investors in a late-stage trial. Bezos Wedding Draws Protests, Soul-Searching Over Tourism in Venice One Architect's Quest to Save Mumbai's Heritage From Disappearing NYC Congestion Toll Cuts Manhattan Gridlock by 25%, RPA Reports The company said its psilocybin drug reduced depression symptoms by 3.6 points on a rating scale compared to a placebo, meeting its goal but falling short of Wall Street expectations. The study evaluated 258 adults for a change in their symptoms at six weeks, Compass said Monday. Investors had been expecting a five-point difference, RBC Capital Markets analyst Leonid Timashev said in a May note to clients. Compass Pathways' American depositary receipts fell as much as 37% in early trading on Monday. Still, Compass executives said the results would offer new momentum for psychedelic therapy. 'We've always said we were looking for a three-point or greater difference,' said Chief Medical Officer Guy Goodwin. Compass is hoping to give a boost to a nascent field that's seeking to legitimize mind-altering drugs for the treatment of mental health. Psilocybin is now the furthest along in development of any classic psychedelic since the Food and Drug Administration rejected Lykos Therapeutics Inc.'s MDMA for post-traumatic stress disorder last year, saying there wasn't sufficient data to prove it was safe and effective. 'Seeing this kind of meaningful improvement from a single dose is incredibly important — for patients, for caregivers, and for the entire field,' said Compass Chief Patient Officer Steve Levine. Compass's study looked at patients suffering from depression who hadn't been helped by at least two other treatments. About 21 million US adults have major depressive disorder, and about 30% of them have this form of depression, known as treatment-resistant depression. Chief Commercial Officer Lori Engelbert said it was notable that patients saw sustained improvements six weeks after just one dose of medication. 'I don't think psychiatry has seen anything like this,' she said, 'with one administration lasting this long.' In psychedelic trials, patients often know whether they've received the real drug, which can make placebo comparisons tricky. 'If we'd come out with a massive difference between active and placebo, then people would have said 'Oh, well, you can't trust placebo,'' Goodwin said, because experts worry trial participants might know whether they're on the drug or not. An independent board reviewed safety data for Compass's trial and found no clinically meaningful imbalance in suicidal thinking between the treatment and placebo, the company said. One concern with psilocybin is it could worsen suicidal thoughts of people with depression. This is the first of two late-stage trials for the drug, which is a synthesized version of an active ingredient in mushrooms. The second trial evaluated patients who got two doses of psilocybin. The company expects to release data from that trial next year. The company is also studying the drug in adults with PTSD. In recent years, magic mushrooms, MDMA and other psychedelics have been pitched as a panacea for several disorders including depression, PTSD, anxiety, nicotine addiction and anorexia. But Lykos's failure at the FDA has been viewed as a setback for the field. Recently, psychedelics supporters have found new hope from Robert F. Kennedy Jr., who is now the Health and Human Services secretary. Last year, Kennedy said that his mind 'is open to the idea of psychedelics for treatment,' adding that 'people ought to have the freedom and the liberty to experiment with these hallucinogens to overcome debilitating disorders.' If approved, Compass's drug would compete with Johnson & Johnson's Spravato, which is related to ketamine and generated over $1 billion in sales last year. Other biotechs developing psychedelics include GH Research PLC and Atai Life Sciences NV. (Updates with shares in fourth paragraph.) Luxury Counterfeiters Keep Outsmarting the Makers of $10,000 Handbags Is Mark Cuban the Loudmouth Billionaire that Democrats Need for 2028? Ken Griffin on Trump, Harvard and Why Novice Investors Won't Beat the Pros The US Has More Copper Than China But No Way to Refine All of It Can 'MAMUWT' Be to Musk What 'TACO' Is to Trump? ©2025 Bloomberg L.P.
Yahoo
25-04-2025
- Business
- Yahoo
Why Compass Pathways Stock Was a Double-Digit Winner This Week
The field of psychedelic medicine is relatively new, and because of this, certain investors consider it to be loaded with potential. That's why even minor events in companies specializing in this can be greeted with notable share price pops. Such a dynamic was in evidence with U.K.-based Compass Pathways (NASDAQ: CMPS) this week. On news about a step completed in a clinical trial, the company's shares rose by 13% over the period, according to data compiled by S&P Global Market Intelligence. Where to invest $1,000 right now? Our analyst team just revealed what they believe are the 10 best stocks to buy right now. Continue » Compass Pathways, which focuses on psilocybin -- the psychoactive compound found in "magic" mushrooms -- announced Tuesday that it had completed dosing in a late-stage clinical trial. The biotech is currently putting its synthesized psilocybin treatment, COMP005, through its paces in a phase 3 trial. Participants are to receive either a 25-milligram dose of the medication or a placebo. Promisingly, we should have a readout before long, as Compass Pathways said it is on pace to publish six-week primary endpoint results toward the end of June. The study comprises 258 patients currently afflicted with moderate to severe depression and who have not responded to a minimum of two previous treatments. The dosing took place at 32 sites in the U.S. In the press release marking the milestone, Compass Pathways quoted CEO Kabir Nath as saying that it "marks a critical milestone in our mission to address the pressing unmet need in treatment resistant depression." It also further establishes once-taboo psychoactive substances as legitimate potential therapies for serious psychological disorders. Investors will be crossing their fingers for success with this late-stage round of testing. Before you buy stock in Compass Pathways Plc, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the for investors to buy now… and Compass Pathways Plc wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you'd have $591,533!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you'd have $652,319!* Now, it's worth noting Stock Advisor's total average return is 859% — a market-crushing outperformance compared to 158% for the S&P 500. Don't miss out on the latest top 10 list, available when you join . See the 10 stocks » *Stock Advisor returns as of April 21, 2025 Eric Volkman has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. Why Compass Pathways Stock Was a Double-Digit Winner This Week was originally published by The Motley Fool Sign in to access your portfolio
