Brean Murray downgrades Adolor Corp. (ADLR) to sell from hold.
Analyst Jonathan Aschoff says he originally expected the trial to be positive, but not overwhelmingly so, and therefore recommended selling into strength that he believed the trial would provide.
However, given the failed primary endpoint, he does not recommend owning Adolor shares in anticipation of a positive FDA Advisory Panel outcome. He says he cannot understand why this latest trial achieved statistical significance in a secondary endpoint that is less forgiving than its primary endpoint.
Aschoff believes the FDA Advisory Panel will not recommend approval of alvimopan for postoperative ileus.