Goldman Sachs Stands Alone in Ditching Acadia Pharmaceuticals Amid Mixed Trial Results

Goldman Sachs has reaffirmed its Sell rating on Acadia Pharmaceuticals ( ticker not provided), citing disappointing results from a Phase 2 trial of remlifanserin in Alzheimer's disease psychosis. The company's stock currently trades at $22.77, well above Goldman's price target of $17.00 but below the analyst high of $49.

The trial, known as RADIANT, did not meet its primary endpoint of SAPS-H&D at 6 weeks, with an effect size of 0.26 and p-value of 0.0603. Despite this, Acadia plans to continue its Phase 3 program based on nominal significance on the secondary endpoint of clinical global impression-severity.

The company cited a favorable safety profile for remlifanserin, with no evidence of QT prolongation or adverse effects on cognition or motor function. Goldman's bearish stance is at odds with the views of other analysts, who have revised their earnings estimates upwards for the upcoming period and see the stock as undervalued.