Immunovant announced that its drug, IMVT-1402, successfully lowered levels of a key antibody called immunoglobulin G (IgG) in healthy adults, suggesting its potential to treat various autoimmune conditions. Unlike a previous drug from the company, IMVT-1402 did not have negative effects on “bad” LDL cholesterol or serum albumin levels. The results exceeded expectations and garnered positive responses from analysts. As a result, Immunovant’s stock, ticker symbol IVMT, reached a two-year high, soaring nearly 100% in midday trading.
The study involved testing different doses of IMVT-1402, and a four-week regimen of the drug led to a 63% reduction in IgG levels, comparable to another drug called batoclimab. However, batoclimab was associated with increased levels of LDL cholesterol and albumin, which IMVT-1402 avoided. This puts Immunovant’s drug on par with Argenx’s Vyvgart, a treatment for autoimmune conditions like generalized myasthenia gravis and chronic inflammatory demyelinating polyneuropathy (CIDP). While Argenx currently has a lead in development for rare diseases, analysts predict that Immunovant’s IMVT-1402 could have implications for self-administered injections used in the treatment of rheumatoid arthritis.
Immunovant’s positive results and the potential of IMVT-1402 caused a significant surge in its stock price, doubling in value at one point in response to the news. The stock reached its highest point since February 2021 and currently holds a nearly perfect Relative Strength Rating of 98. Analysts believe that although Argenx has the advantage in rare disease development, Immunovant’s drug could have an impact on the market for self-administered rheumatoid arthritis treatments. Overall, this development positions Immunovant’s IMVT-1402 as a strong competitor in the field of autoimmune disease drugs.