The Situation

Arcus Biosciences Inc (NYSE: RCUS) shares – a clinical-stage biopharmaceutical company developing and commercializing cancer therapies – plunged on Tuesday after data it shared data relevant to its lung cancer drug. As of 12:00 PM ET, Arcus shares are down by 31.76%.

The Explanation

Arcus Inc officially went public on Mar 14, 2018, reaching an all-time high of $48.47 on Nov 23, 2021. Overall, the stock is still up by 19.60%, although it is down by 49.68% year-to-date.

The company announced the result data for its cell lung cancer drug developed with Gilead Sciences Inc. with only 41% of patients responding to the treatment. The median showed patients could live for 12 months before cancer finally worsened; this also fell down compared to the 45% of patients responding by Roche.

See the $RCUS chart performance here.

The Effect

Arcus Inc shares dropped after the results of the lung cancer drug development could not beat the competition. The investors' reaction happened as the company's lung drug results lagged behind by just 4% compared to its competitor.

Since investors can't know for sure whether the company will be able to increase the percentage response of patients, it is more important to focus on Arcus' business.

See full $RCUS flow at: https://unusualwhales.com/stock/RCUS/flow-overview