Amgen jumps 15 percent on results of clinical trial


It's great when a biotech company can deliver on a promising drug. Although Amgen Inc. (AMGN) reported disappointing earnings in the first quarter, many investors put their hopes up on its experimental denosumab bone drug for treating post-menopausal osteoporosis. This drug, which was filed for approval with the FDA in December, could be key to future growth and everybody was paying close attention to the approval process. Amgen says it is quite certain it has demonstrated the drug's efficacy and safety.

This approval process just got a positive reinforcement when Amgen said in a statement late Tuesday that denosumab worked better than Zometa from Novartis AG (NVS). Amgen said Phase III trial of denosumab showed that it was better at reducing or delaying bone problems in breast-cancer patients than Zometa. It's not surprising then that stock is surging over 15 percent in today's trading.