Garrett Harris 10:11 p.m., May 23
Arena Pharmaceuticals' Stock Plunges on Disappointing Results of Weight Loss Drug
Here's the skinny on biotech Arena Pharmaceuticals' experimental weight loss drug, Lorcaserin: Wall Street thinks late-stage study results don't measure up. The stock is down 27.56% today (March 30) to $3.26. Last week it had climbed from $4.20 to $4.50 on good expectations. The stock has been as high as $7.42 in the last 52 weeks. The study partly met Food and Drug Administration standards. The average patient taking Lorcaserin for a year lost 8.2% percent of body weight, or 17.9 pounds. Those taking a placebo lost 3.4% of body weight, or 7.3 pounds. Arena says that competing drugs cause insomnia and can be addictive.