What happened
Axsome Therapeutics (AXSM 0.59%), a central nervous system disorder specialist, is having a good day today. Specifically, the drugmaker's shares are up by a healthy 12.2% on heavy volume as of 1:02 p.m. ET Tuesday afternoon. If this latest move holds, Axsome's shares will end the day up by nearly 70% year to date, an especially impressive feat given that we're in the midst of a raging bear market.
What's powering Axsome's stock higher today? Axsome's shares appear to be getting a lift from the company's 2022 third-quarter earnings report released yesterday.
Image source: Getty Images.
So what
Although Axsome's management spent quite a bit of time discussing the commercial prospects of the excessive daytime sleepiness medication Sunosi during this latest earnings call, Wall Street and the company's shareholders alike are primarily interested in the ongoing commercial launch of Auvelity.
Auvelity, which was approved by the Food and Drug Administration earlier this year as a novel treatment for major depressive disorder, became commercially available on Oct. 20. While it is still early days for the drug's commercial launch, Axsome said during yesterday's call that they have already had positive interactions with both healthcare providers and payers about the drug's clinical profile.
Now what
While this commentary isn't exactly proof-positive that Auvelity will go on to become a blockbuster-level product, it is an encouraging sign that healthcare professionals do indeed realize the importance of a new treatment option for this indication. As such, it's not altogether surprising to see investors bidding up this mid-cap healthcare stock today.
