Why Cognition Therapeutics Stock Is Plunging On Alzheimer's Disease Related News Today

Cognition Therapeutics Inc CGTX announced the topline results from its Phase 2 double-blind, single-crossover SEQUEL study of CT1812 in 16 adults with mild-to-moderate Alzheimer's disease. The study was conducted in the Netherlands.

The company says that the study met its primary endpoints for safety and tolerability. It demonstrated positive effects for CT1812-treated participants, as measured via quantitative electroencephalogram (qEEG).

Research suggests that Alzheimer's disease is characterized by an overall slowing of brain activity, which can be measured through an increase in relative theta power using qEEG and other measures of brain connectivity. 

The SEQUEL study examined brain wave changes over a 4-week treatment period and found that participants treated with CT1812 experienced a numerical reduction in relative theta power compared to the placebo period. 

While these results were not statistically significant, they positively impact underlying brain function. Investors are probably reacting due to this.

Additionally, there were nominally significant and directionally positive changes in AECc and alpha power.

Moreover, this study assessed brainwave changes in various regions. Treatment with CT1812 led to decreases in relative theta power in these regions, with statistical significance observed in the central region.

In May, Cognition announced data publication from a Phase 1b SNAP trial of CT1812 to Measure Aβ Oligomer Displacement in Alzheimer's Disease in the Translational Neurodegeneration journal.

Price Action: CGTX shares are down 20.0% at $2.00 on the last check Wednesday.