Biotech Values

[dewophile]

In all seriousness yes. There is a competitor with a similar MOA that is reporting results one quarter behind. Good results here may mean ENTA's lead compound may come under competitive pressure and force ENTA's hand to advance this compound as well, adding to the cash burn
Of course the worst outcome would have been for these challenge results to not look good and the competitor's to look better - that is pretty much off the table. VL dropped about as fast as it could, and symptoms in healthy patients were about what they were for ENTA's lead compound which seems to have a ceiling effect in healthy patients despite better virology
The problem with the market reaction is that ENTA's lead drug is over a year ahead of any real competitor, there may be no added benefit of somewhat better virologic effects for most patients in the clinic, and they can always move this latest compound forward alone and or in combination to always keep pace
This is a long answer to say the added cash burn if they advance this compound could easily explain the market reaction