Why Corcept Therapeutics Plummeted by 50% Today

Core Insights - Corcept Therapeutics faced a significant setback as the FDA issued a complete response letter, declining to approve its relacorilant medication, leading to a share price drop of over 50% [1][2][4] - The FDA acknowledged that relacorilant met its primary endpoint in clinical trials but required additional evidence of effectiveness for a favorable benefit-risk assessment [3][4] - Corcept plans to continue pursuing commercialization of relacorilant and intends to meet with FDA officials to discuss potential next steps [3][4] Company Performance - The company's share price experienced a drastic decline of just over 50% following the FDA's decision [1] - The FDA's rejection is viewed as a significant defeat for Corcept, indicating challenges ahead for the drug's approval process [4][7] Future Prospects - Corcept is determined to find a way to commercialize relacorilant, although this may involve additional clinical trials, complicating the approval process [3][4] - The FDA's response suggests that any future success will require substantial evidence to support the drug's effectiveness [4][7]