Shares of Y-mAbs Therapeutics Inc. YMAB, -51.85% plunged 42.5% in premarket trading on Monday after several banks downgraded the company’s stock and a Food and Drug Administration advisory committee voted against approval of the company’s experimental treatment for neuroblastoma patients. The committee on Friday voted 16-0 that there wasn’t enough evidence to say that omburtamab improves overall survival. J.P. Morgan downgraded the stock to underweight from neutral, with analysts saying: “We do not think recent newsflow bodes well for investor confidence or for ascribing further pipeline value to follow-on indications which are mostly in their early innings of development.” Wedbush also downgraded the stock to neutral from outperform. Y-mAbs’ stock has tumbled 44.9% this year, while the broader S&P 500 SPX, -0.44% is down 18.5%.
