Aadi Bioscience Inc (AADI)

Shares of Aadi Bioscience Inc (AADI) dropped by 56.42% from $5.37 to $2.34 in the trading on Friday, December 15, 2023. The reason why AADI down today is due to disappointing result of ongoing trial, and analysts' downgrade.

• Interim Trial Results Impact: The reason for AADI's sharp decline was the release of results from an interim analysis of the ongoing tumor-agnostic PRECISION1 trial of nab-sirolimus in patients with TSC1 or TSC2 inactivating alterations.
• Investigator-Assessed Response Rates: Nab-sirolimus achieved a 26% and 11% investigator-assessed objective response rate (ORR) in tumors with TSC1 and TSC2 inactivating alterations, respectively. These response rates were notably lower than what was observed in the AMPECT trial's exploratory analysis, where 64% of mTORi-naive TSC1/TSC2+ PEComa patients achieved a response. However, it's important to consider the advanced condition of these patient groups and the lack of specific tumor type information.
• Analyst Downgrade: In light of the interim data and historical benchmarks for tumor-agnostic approvals, H.C. Wainwright downgraded AADI from Buy to Neutral, considering the drug's potential approval for later-line patients in a tumor-agnostic manner.