Foghorn Therapeutics Inc. (NASDAQ:FHTX) shares are trading lower by 8.49% to $4.85 during Monday's session after the company announced it will discontinue independent development of its FHD-286 program in combination with decitabine for relapsed/refractory acute myeloid leukemia (AML) due to insufficient response rates in a Phase 1 trial.
What To Know: While Foghorn says clinical responses were observed, the results did not meet the company's threshold for continuation. Results from the trial will be presented at a medical conference in 2025.
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The company says it will prioritize its proprietary programs, including Selective CBP, Selective EP300 and ARID1B, along with its Lilly collaboration, which includes the development of FHD-909. Partnerships and Investigator Sponsored Trials are being considered to further advance FHD-286.
Foghorn reported $267.4 million in cash and equivalents as of September 30, 2024, providing a cash runway into 2027. CEO Adrian Gottschalk emphasized the potential of the company's innovative oncology pipeline and expressed gratitude to trial participants.
AML, the focus of the discontinued trial, is a blood and bone marrow cancer diagnosed in 20,000 U.S. adults annually.
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Should I Sell My FHTX Stock?
Whether to sell or hold a stock largely depends on an investor's strategy and risk tolerance. Swing traders may sell an outperforming stock to lock in a capital gain, while long-term investors might ride out the turbulence in anticipation of further share price growth.
Similarly, traders willing to minimize losses may sell a stock that falls a certain percentage, while long-term investors may see this as an opportunity to buy more shares at a discounted price.
Shares of Foghorn Therapeutics (NASDAQ:FHTX) have lost 1.67% year to date. This compares to the average annual return of -33.39%, meaning the stock has outperformed its historical averages. Investors can compare a stock's movement to its historical performance to gauge whether this is a normal movement or a potential trading opportunity.
Investors may also consider market dynamics. The Relative Strength Index can be used to indicate whether a stock is overbought or oversold. Foghorn Therapeutics stock currently has an RSI of 1.18, indicating oversold conditions.
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FHTX has a 52-week high of $10.25 and a 52-week low of $2.70.