How Risky Are Psychedelic Stocks?
COMPASS Pathways (NASDAQ: CMPS) is a psychedelic company that is pursuing the use of psilocybin, the active ingredient in "magic mushrooms," for treatment-resistant depression (TRD). The phase 2 trial is ongoing. In this therapy, a person takes the drug in a controlled environment while a therapist talks to the patient throughout the experience.
Earlier this month, some good news hit the sector outside of COMPASS. There was positive phase 3 data from a private study involving the use of generic MDMA (ecstasy) plus talk therapy in treating post-traumatic stress disorder. In this Fool Live clip, recorded on May 14, Corinne Cardina, bureau chief of healthcare and cannabis at Fool.com, and Taylor Carmichael, Motley Fool writer, discuss the MDMA trial, as well as the risks of COMPASS stock and the company's psilocybin-plus-talk therapy treatment for depression.
Source Fool.com
