Why Reata Pharmaceuticals Stock Is Soaring Today
Shares of Reata Pharmaceuticals (NASDAQ: RETA) had soared 11.8% higher as of 11 a.m. ET on Tuesday. The big gain came after the drugmaker provided its third-quarter update prior to the opening of trading.
Reata reported Q3 collaboration revenue of $540,000 and a net loss of $79 million, or $2.16 per share. However, investors didn't focus on the company's financial results. Instead, the big news in the update related to the company's recent meeting with the Food and Drug Administration (FDA) about the review process for omaveloxolone as a potential treatment for patients with the rare genetic disease Friedreich's ataxia.
The FDA didn't request any additional data. The agency confirmed that it doesn't currently plan to convene an advisory committee meeting to review Reata's New Drug Application (NDA) for omaveloxolone. Also, it told the company that no issues related to risk management have been found so far in the review.
Source Fool.com
