Axsome Therapeutics Inc (NASDAQ:AXSM) Price Public Offering

Axsome Therapeutics Inc (NASDAQ:AXSM)

Axsome Therapeutics Inc (NASDAQ:AXSM) has priced its public offering of around 3.743 million shares at $3.74. Underwriters have an option to over-allot shares by an additional 561,497 shares. As per the update, closing date announced is March 24. The close in yesterday’s session was $3.70.

The update

Earlier in March, Axsome Therapeutics Inc (NASDAQ:AXSM) released financial report for the fourth quarter and year closed December 2016. Last year the company developed its late-stage portfolio leading in three ongoing pivotal studies for three indications. They expect releasing a potentially pivotal study in another indication, Alzheimer’s disease agitation, in Q2 2017.

Herriot Tabuteau, M.D., the CEO of Axsome, reported that the coming 12 months will be considerable for company as they anticipate reporting from all of their underway Phase 3 studies during this period. Judicious cash management has enabled them to extend their cash runway via these important clinical achievements which include an interim assessment for efficacy from the CREATE-1 study in complex regional pain syndrome, and top-line data from the STRIDE-1 study in treatment resistant depression.

An interim assessment to evaluate sample size assumptions is now intended for the COAST-1 studyl in knee osteoarthritis linked with bone marrow lesions, with data anticipated in Q3 2017. They look forward to these short-term clinical data which will bring light on the potential of AXS-05 and AXS-02 in multiple indications.

Axsome Therapeutics Inc (NASDAQ:AXSM) is advancing a portfolio of patent-protected CNS product candidates. It is a known fact that CNS disorders are difficult-to-treat, distressing and underserved with several having no satisfactory or approved treatments. Axsome accelerates the advancement of new CNS drugs in a cost-efficient manner, by using unique mechanisms of novel delivery and action and action approaches of well-characterized molecules, together with human proof-of-concept report and unique clinical study designs. The pipeline comprises 2 late-stage product aspirants in Phase III preclinical and development candidates.

R&D expenses came at $5.8 million for the quarter closed December 2016 and $21.2 million for the fiscal year closed December 2016 against $2.2 million and $6.8 million for the same periods in 2015. The jump in R&D expenses was mainly due to the conduct of the STRIDE-1, COAST-1 and CREATE-1 Phase III clinical studies.

Axsome Therapeutics Inc (NASDAQ:AXSM) stock has been stated as a top pick by Beta Research as it fulfills the A+ criteria outlined by the research group. The stock has a consensus “Buy” rating. This is according to covering research brokerage groups taken into consideration by renowned firm, First Call.

Ticker Symbol AXSM
Last Price a/o 3:21 PM EST  $3.70
Average Volume  89.44K
Market Cap (mlns)  $71.00M
Shares Outstanding (mlns) 19.19M
Share Float (mlns) 11.18M
Inside Ownership
Short Float 2.62%
Short Interest Ratio 3.27
Quarterly Return -44.36%
YTD Return -45.19%
Year Return -59.16%

I have no positions in any stocks mentioned, and no plans to initiate any positions within the next 96 hours. All information, or data, is provided with no guarantees of accuracy.

About the author: Monica Gray has an undergraduate degree in Accounting and an MBA – earned with Honors. She has six years of experience in the financial markets and has been a securities analyst for the past two years.

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Monica has an undergraduate degree in Accounting and an MBA she earned - with Honors. She has six years of experience in the financial markets and has been an analyst for the past two years.

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