How Much Should An Alzheimer's Drug Cost?
Biogen (NASDAQ: BIIB) has come under fire for charging $56,000 a year for its new Alzheimer's drug. It's just one of the many controversies swirling around Biogen and the U.S. Food and Drug Administration (FDA) -- another serious criticism is that Biogen's drug had no more efficacy than placebo. This charge, that the drug doesn't actually work, makes the cost argument even worse for Biogen. Is $56,000 a fair price point? It definitely surprised the market -- several analysts had estimated the drug would price at about $10,000 a year.
Many observers are looking at alternatives to Biogen's drug. One stock that has taken the market by storm is tiny Cassava Sciences (NASDAQ: SAVA), with its share price running up 1,500% so far in 2021. Cassava is an Alzheimer's specialist that has a drug entering phase 3 trials later this year. How much will Cassava's drug, simufilam, cost? Motley Fool editor and analyst Olivia Zitkus and Fool.com writer Taylor Carmichael have a virtual discussion about Cassava and Biogen. This segment was recorded live on July 30.
Source Fool.com
