Diamonds and Dogs
Galmed Pharma (GLMD) gets a big upgrade. The biotech firm is up 13% thanks to an upgrade at Cantor Fitzgerald with a price target of $59 a share. Galmed is developing Aramchol, a novel, once-daily, oral therapy to treat liver diseases using fatty-acid/bile-acid conjugates (FABACs). Galmed's lead indication is non-alcoholic steatohepatitis (NASH), a major contributor to liver disease in developed countries, affecting 50 million people in the U.S. and EU5. Galmed recently announced results from a Phase 2b ARREST trial, demonstrating a strong safety profile with positive efficacy across numerous endpoints.
Investors don't like this deal. Chipmaker, Broadcom (AVGO) is down 17% after agreeing to acquire software maker, CA Technologies. The $18.9 billion all-cash acquisition has resulted in several downgrades for the semiconductor company, with Evercore noting the "loss of focus" as a big worry for investors. Broadcom sank as much as 19% its worst intraday loss since 2009.