(Reuters) -Amgen said on Wednesday there was no link between its experimental weight-loss drug and changes in bone density, a day after those concerns wiped off more than $12 billion from the company's market value.
The company's stock slumped 7% on Tuesday after analysts at Cantor Fitzgerald said their review of early-stage data on Amgen (NASDAQ:AMGN)'s MariTide showed the drug had led to a drop in bone mineral density.
"The Phase 1 study results do not suggest any bone safety concern or change our conviction in the promise of MariTide," Amgen said, adding that it looks forward to data from its mid-stage study later this year.
Shares of Amgen rose 2% in premarket trade after the company's statement.
Cantor analysts said they found the bone mineral density changes when reviewing supplemental data that was published along with the results in February.
At least four analysts said the concerns were overblown, especially considering the company was conducting a mid-stage study and planned to invest in a larger late-stage trial as well.
"While a new safety signal would certainly be (a) cause for alarm on any drug, the truth is, (Amgen) knows a lot more about this molecule than the Street," Piper Sandler analyst Christopher Raymond (NS:RYMD) said in a note.