From Yahoo Finance: 2025-05-30 06:37:00

Regeneron shares dropped 18% after its drug for “smoker’s lung” failed a late-stage trial. The drug, itepekimab, showed a 27% reduction in exacerbations but did not meet goals in the second study. Analysts predict a potential delay in market entry for the drug, impacting Regeneron’s growth prospects.

Regeneron and Sanofi were studying itepekimab, aiming for peak sales of $5 billion to treat COPD. The drug targets interleukin-33, a protein causing inflammation in the lung condition. Despite positive results in one study, the mixed outcomes have clouded the regulatory path, possibly requiring additional studies for approval.

Investors were hopeful for itepekimab to offset the patent expiry of their blockbuster drug, Dupixent. However, with the drug’s setback in the second study, the companies may face challenges in obtaining regulatory approval. Shares of Regeneron and Sanofi plunged in response to the disappointing trial results, impacting their stock valuation in the market.

Read more: Regeneron shares slide on mixed trial data for smoker’s lung drug