Philadelphia, PA – Annovis Bio’s recent release of topline data from their Phase 2/3 trial in Alzheimer’s disease has sparked concerns and raised questions among investors and analysts.

After an in-depth analysis, it is evident that the trial results may not be as promising as initially perceived. Despite claims of efficacy in mild Alzheimer’s disease patients, the actual outcome of the trial for all patients could potentially be a failure. This raises doubts about the future prospects of Annovis’ lead compound, Buntanetap, in treating Alzheimer’s disease.

One major point of contention is the exclusion of 37% of patients from the trial, a decision that was not communicated to investors beforehand. This exclusion was based on a biomarker threshold that may not align with FDA standards. Additionally, the distinction between mild and moderate Alzheimer’s disease patients, without any pre-specification, further complicates the interpretation of the results.

Furthermore, Annovis’ financial situation adds another layer of uncertainty. With only $5.8 million in cash left and ongoing expenses, the company’s need for financing is apparent. The recent Equity Line of Credit financing, which could potentially lead to an 18% dilution in shares, raises concerns about the company’s financial stability and future stock performance.

Looking ahead, investors are eagerly awaiting the Phase 3 trial data for Parkinson’s disease. Despite ongoing data cleaning efforts for five months, the delay in releasing this data adds to the overall uncertainty surrounding Annovis’ future prospects.

In light of these developments, analysts are downgrading their ratings on Annovis’ stock to a Strong Sell, citing concerns about trial outcomes, financial challenges, and the lack of clarity in the company’s communications. As investors brace for potential stock dilution and continued volatility, the road ahead for Annovis Bio remains uncertain.