BUZZ-Zentalis Pharma tumbles on cancer drug durability concerns

Shares of drug developer Zentalis Pharmaceuticals ZNTL.O fall ~19% to $1.94

ZNTL says its experimental cancer drug, azenosertib, works better than current treatments in ovarian cancer patients who have previously been treated with platinum-based chemotherapy and whose cancer has become resistant

It reported data from two mid-stage trials testing its therapy alone or in combination with niraparib in patients with ovarian cancer and platinum-resistant ovarian cancer patients

In one of the studies, ZNTL's drug resulted in a 5.5 months duration of response on average in patients

Oppenheimer analyst Matthew Biegler says investors are "squabbling" as the duration of response was slightly under 6 months, a pivotal study could take another 2 years and that accelerated approval isn't a "done deal"

Wedbush analyst Robert Driscoll says he remains "unconvinced" by the durability data that will ultimately support full approval

ZNTL is seeking the U.S. FDA's accelerated approval for its drug to treat platinum-resistant ovarian cancer

ZNTL fell ~81% in 2024