Shares of Apellis Pharmaceuticals (NASDAQ:APLS) fell 3.7% to $35.36 in premarket trading after the company announced that the European Medicines Agency’s Committee for Medicinal Products for Human Use (CHMP) reaffirmed its negative opinion on Apellis' experimental drug, pegcetacoplan.
The drug is designed to treat geographic atrophy, a progressive and irreversible eye disease that leads to the destruction of retinal cells responsible for vision.
Mizuho analysts were not surprised by the CHMP's decision, citing low chances of a favorable opinion.
The firm cut its price target for Apellis to $39 from $42, representing a 6% potential upside from the stock's last close.
Apellis had requested a re-examination of the initial negative opinion from the CHMP in June.
Year-to-date, Apellis Pharmaceuticals' share price has fallen around 39%.