Oops, something went wrong
Novartis (NVS) had a disappointing Tuesday, Sept. 8. Shares dropped nearly 14% on one of the company's worst trading days on record.
The sell-off followed news that a closely watched experimental drug failed its main goal in a late-stage trial. The timing was bad, since the company was already dealing with a trial failure from days earlier.
Novartis is one of the largest drugmakers in the world. It develops and sells prescription medicines across cancer, heart disease, immunology, and neuroscience.
Because the company earns most of its money from a handful of popular branded drugs, its business model depends heavily on new drugs reaching the market. So when a major drug trial fails, investors pay attention.
