ACADIA Pharmaceuticals Inc. (NASDAQ:ACAD) continues to exhibit tremendous relative strength within a market context that has taken very few prisoners over the past three weeks. In that time, the stock is basically flat after launching higher in September on positive data. To further drive that narrative, the company just announced that Todd S. Young, Executive Vice President and Chief Financial Officer, will be leaving the organization effective October 31, 2018 to join another healthcare company. According to the release, Elena Ridloff, CFA, Senior Vice President, Investor Relations will serve as the Company’s Interim Chief Financial Officer.

While this is likely not market-moving information, investors may read into it. In our experience, the market often doesn’t like it when a CFO jumps ship. So, in the face of a tough broad market tape, and the exodus of a CFO, we may be seeing a stealth bullish signal here in the fact that the stock has continued to hold up very well in recent trade.

ACADIA Pharmaceuticals Inc. (NASDAQ:ACAD) trumpets itself as a biopharmaceutical company that focuses on the development and commercialization of small molecule drugs that address unmet medical needs in central nervous system disorders.

The company offers NUPLAZID (pimavanserin) for the treatment of hallucinations and delusions associated with Parkinson’s disease psychosis. It is also developing pimavanserin as a treatment for dementia-related psychosis and as an adjunctive treatment for schizophrenia that are in phase III clinical trials; and pimavanserin as an adjunctive treatment for major depressive disorder.

ACADIA Pharmaceuticals Inc. was founded in 1993 and is headquartered in San Diego, California.

Moreover, ACADIA is a biopharmaceutical company focused on the development and commercialization of innovative medicines to address unmet medical needs in central nervous system disorders. ACADIA has developed and is commercializing the first and only medicine approved for the treatment of hallucinations and delusions associated with Parkinson’s disease psychosis.

In addition, ACADIA has ongoing clinical development efforts in additional areas with significant unmet need, including dementia-related psychosis, schizophrenia inadequate response, schizophrenia-negative symptoms, major depressive disorder and Rett syndrome.

In addition, the company has a strong balance sheet, with cash levels far exceeding current liabilities ($256.9M against $49.2M).

 

Exodus

As we discussed earlier, ACAD just announced that Todd S. Young, Executive Vice President and Chief Financial Officer, will be leaving the organization effective October 31, 2018 to join another healthcare company.

Over the past week, shares of the stock have suffered from clear selling pressure, dropping by roughly -3% even with the push higher on the news. ACAD shares have been relatively flat over the past month of action, with very little net movement during that period.

“On behalf of the entire management team, I want to thank Todd for his many contributions to the Company and the finance function during an important period in ACADIA’s growth and wish him all the best in his future endeavors,” said Steve Davis, ACADIA’s President and Chief Executive Officer. “Looking ahead, our top priority remains advancing NUPLAZID as the standard of care for hallucinations and delusions associated with Parkinson’s disease psychosis and progressing our late-stage clinical programs focused on innovative medicines to address unmet medical needs in central nervous system disorders.”

ACADIA Pharmaceuticals Inc. (NASDAQ:ACAD) generated sales of $57.1M, according to information released in the company’s most recent quarterly financial report. That adds up to a sequential quarter-over-quarter growth rate of 16.8% on the top line.

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