Bausch Health (BHC) Stock Drops 4% After Phase 3 Trials Fail to Meet Primary Goal
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 1h ago
0mins
Source: seekingalpha
- Trial Results Disappointment: Bausch Health's RED-C clinical program for liver cirrhosis patients failed to meet its primary goal in phase 3 trials, causing a ~4% drop in premarket trading, indicating market concerns over its drug development prospects.
- Drug Development Context: The trial aimed to assess the efficacy of amorphous rifaximin solid soluble dispersion in delaying the first episode of hepatic encephalopathy, yet the lack of detailed results has increased uncertainty among investors.
- Market Reaction Analysis: The trial failure directly impacted Bausch Health's stock performance, significantly eroding market confidence in its future product pipeline, which could affect the company's financing and research capabilities.
- Strategic Outlook: Despite the setback, Bausch Health continues to actively participate in various conferences, showcasing its 2025 outlook, indicating the company's pursuit of new growth opportunities in the face of challenges.
Analyst Views on BHC
Wall Street analysts forecast BHC stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for BHC is 8.25 USD with a low forecast of 7.00 USD and a high forecast of 10.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
4 Analyst Rating
0 Buy
4 Hold
0 Sell
Hold
Current: 6.570
Low
7.00
Averages
8.25
High
10.00
Current: 6.570
Low
7.00
Averages
8.25
High
10.00
About BHC
Bausch Health Companies Inc. is a global, diversified pharmaceutical company. The Salix segment includes sales in the U.S. of GI products. The International segment includes sales of Bausch + Lomb products and Solta Medical aesthetic medical devices, outside the U.S. and Puerto Rico of branded pharmaceutical products, branded generic pharmaceutical products and OTC products. The Solta Medical segment includes global sales of Solta Medical aesthetic medical devices. The Diversified segment includes sales in the U.S. of pharmaceutical products in the areas of neurology and certain other therapeutic classes, dermatology products, generic pharmaceutical products and dentistry products. The Bausch + Lomb segment includes global sales of Bausch + Lomb Vision Care, Surgical and Pharmaceuticals products. Its drug candidate, Larsucosterol binds to and inhibits the activity of DNA methyltransferases, epigenetic enzymes that are elevated and associated with hypermethylation found in AH patients.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
