Zealand Pharma (ZEAL) Stock Drops 23% After Safety Data Report

AI Summary

Zealand Pharma's (ZEAL) shares fell 22.7% after new safety data revealed a 19% dropout rate in a trial for its drug, survodutide, due to gastrointestinal side effects. This represents an increase from the 2.9% dropout rate with a placebo. The high discontinuation rate, coupled with over 40% of participants experiencing symptoms like vomiting, raises concerns about the drug's commercial viability. Year-to-date, Zealand's shares have dropped nearly 50%, making the latest results significant as competition in the weight loss drug market intensifies.