ARTICLE | Finance

Reaching for the aloe

Allos hit by investor doubts about Folotyn sales and new data for cancer drug

August 2, 2010 7:00 AM UTC

Allos Therapeutics Inc. (NASDAQ:ALTH) felt the burn on Wednesday, closing the day off $0.87 (15%) to $4.83, as investors expressed disappointment with 2Q10 sales for peripheral T cell lymphoma (PTCL) drug Folotyn pralatrexate and raised questions about topline results from a Phase IIb trial of Folotyn to treat advanced non-small cell lung cancer (NSCLC).

The biotech posted $7.9 million in net sales of Folotyn for the quarter, up from $7.4 million in 1Q10 but not living up to the Street's expectation of $11 million. The small molecule dihydrofolate reductase (DHFR) inhibitor was launched in January after receiving accelerated approval from FDA last September (see BioCentury, Nov. 9, 2009)...