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Look at Acadia Pharmaceuticals Stock: It Rose 7.9% on Tuesday

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Stock performance

On Tuesday, September 25, Acadia Pharmaceuticals (ACAD) stock closed at $21.41. That’s 7.86% higher than its prior day’s close of $19.85. On September 20, the stock rose 26.56% to $19.11 from its prior day’s close of $15.10.

Its closing price of $21.41 on September 25 was 92% below its 52-week high of $41.20 on October 5, 2017. It hit its 52-week low of $12.77 on August 9, 2018.

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Recent developments

On September 20, the FDA completed a post-marketing review of Nuplazid and delivered a clear statement confirming the positive benefit-risk profile of the drug for the treatment of individuals with Parkinson’s disease psychosis (or PDP). Nuplazid is currently the only FDA-approved medication for the treatment of hallucinations and delusions related to PDP.

Financials in a nutshell

In the second quarter, Acadia Pharmaceuticals reported net revenues of $57.1 million compared to $30.5 million in Q2 2017. In the first half of this year, it reported net revenues of $105.9 million compared to $45.8 million in the first half of 2017.

In the second quarter, it reported net income and EPS of -$63.3 million and -$0.51, respectively, compared to -$67.4 million and -$0.55, respectively, in Q2 2017. In the first half of 2018, it had net income and EPS of -$117.6 million and -$0.94, respectively, compared to -$155.3 million and -$1.27, respectively, in the first half of 2017.

Acadia Pharmaceuticals’ revenue growth could boost the share price of the First Trust NYSE Arca Biotechnology Index Fund (FBT). It makes up ~3.75% of FBT’s total portfolio holdings.

Acadia Pharmaceuticals’ peers in the biopharmaceuticals market include Progenics Pharmaceuticals (PGNX), Sarepta Therapeutics (SRPT), and Amicus Therapeutics (FOLD). They reported revenues of $3.88 million, $73.53 million, and $21.31 million, respectively, in the second quarter of 2018.

Analyst recommendations

Of the ten analysts tracking Acadia Pharmaceuticals in September, one of them has recommended a “strong buy,” and seven have recommended a “buy.” Two analysts have recommended a “hold.”

On September 25, Acadia Pharmaceuticals had a consensus 12-month target price of $31.56, which is a ~44.24% return on investment over the next 12 months.

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