Three healthcare stocks have been very active during both the pre-market and morning trading sessions today. Raptor Pharmaceutical Corp. (NASDAQ:RPTP) has seen its stock slide by more than 35% today, whereas both Aquinox Pharmaceuticals Inc (NASDAQ:AQXP) and Collegium Pharmaceutical Inc (NASDAQ:COLL) are being pushed to higher levels. In the following article we will take a look at each stock and discuss what stands behind these shifts and how hedge funds feel about their prospects.
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Let’s start by discussing Raptor Pharmaceutical Corp. (NASDAQ:RPTP), which announced that its Phase 2b CyNCh study did not meet its primary endpoint of improving nonalcoholic steatohepatitis (NASH) in children. This study was testing Raptor’s drug in children with a kind of liver disease that is characterized by fat in the liver. Following the failed mid-stage study, Raptor Pharmaceutical does not plan to continue the advancement of this experimental liver drug. The shares of Raptor Pharmaceutical Corp. (NASDAQ:RPTP) were up by 14% year-to-date through Friday’s close. Ultimately, the company plans to maximize the reach of PROCYSBI, which represents its sole commercial product, and also further the development of RP103 in Huntington’s and mitochondrial diseases. It seems that Kevin Kotler’s Broadfin Capital made the wrong move by initiating a 1.32 million share-position in Raptor during the second quarter, a rare misstep for the top-performing fund.