Gilead’s Remdesivir Can Hardly Live Up to the Hype

The latest round of hype on Covid-19 drugs began Thursday afternoon when Stat News reported on a leaked video discussion about Gilead Sciences Inc’s remdesivir. A Chicago doctor who had tested it on severely ill patients suggested it was working — that most of those who were given the medicine recovered and were discharged. The market is reacting as if the drug were already a commercial hit: Gilead shares have been up as much as 12% in early trading.

Investors should be clear about what this report is and isn’t, however. It is a promising anecdote that suggests the drug might be useful. It is also extremely limited information from a small portion of a trial taken out of context. In other words, it’s miles from providing proof that remdesivir cures Covid-19. The story is even further from being a reasonable basis for a multibillion-dollar stock move.