Apellis Pharmaceuticals shares rally as competing eye treatment fails to impress analysts

Apellis Pharmaceuticals Inc. shares
APLS,
+4.74%
jumped 8% premarket on Tuesday after competitor Iveric Bio, a unit of Astellas Pharma Inc.
ALPMY,
,
on Monday released results of a trial of Izervay as a treatment for geographic atrophy, a form of age-related macular degeneration. Based on the new data, Izervay’s “efficacy is totally unclear and safety got worse,” Raymond James analysts wrote in a note Monday. The analysts maintained a strong buy rating on shares of Apellis, whose geographic atrophy treatment Syfovre was approved by the U.S. Food and Drug Administration early this year. Syfovre has also been dogged by safety concerns, but Apellis late last month identified a certain type of needle as a potential cause of inflammation of retinal vessels seen as a rare but serious side effect of the eye treatment. Apellis shares have dropped 9% in the year to date, while the S&P 500
SPX,
-0.20%
has gained 16%.