Article: Phase II Misses, But Valentis Might Have Found New Drug.

Managing Editor

Valentis Inc. missed its endpoint in a Phase II study of its lead product, Deltavasc, and watched its stock plummet after reporting the news Wednesday. But the trial might have uncovered a product to replace Deltavasc at the top of Valentis' pipeline, which could allow for a regulatory filing along the same timeline.

Investors took little heed, though, as they sold off Valentis' stock (NASDAQ:VLTS), which fell 64.5 percent Wednesday, or $4.29, to close at $2.36. The stock was heavily traded, ending the day at a volume of about 9.7 million shares, about 59 times its average.

But it's well known that in order to succeed, sometimes ...

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