Amgen Hit Hard by Novartis' Failed Cholesterol Trial

A recent trial failure by Novartis has sent shockwaves through the biotech industry. The company's cholesterol-lowering drug, pelacarsen, failed to reduce cardiovascular events in a late-stage Phase III trial.

As a result, shares of Amgen plummeted 10% after the news broke, while Novartis' stock dropped by an even steeper 14%. This decline has also impacted other companies working on similar Lp(a)-lowering therapies, including Eli Lilly.

However, Amgen's fortunes were not entirely dampened. The company announced positive results from a Phase 3 lung cancer trial, showing significant survival benefits for patients receiving its treatment.

Investors are cautious about the future of Lp(a) treatments following this setback. Investment firm BMO Capital downgraded Amgen's stock to 'Market Perform' in response to the news.