Do You Have These Biotech Stocks In Your Portfolio?

(RTTNews) - Drug companies spend billions on R&D, which is the lifeline of the pharma industry. According to a report published by the Tufts Center for the Study of Drug Development, it costs about $2.6 billion to develop a new drug and bring it to market.

The success rate of phase I clinical programs is the highest, say 63%, while it is the lowest for phase II trials - i.e. 30%. The phase III trials, which are the longest and most expensive trials to conduct, are said to have a success rate of 58%, according to a new report from the Biotechnology Innovation Organization on "Clinical Development Success Rates" over the past decade (2006-2015).

The clinical trial results can make or break a drug company. CLCD and MSTX are two recent examples of how this binary event can impact the stock price.

CoLucid Pharmaceuticals Inc. (CLCD) reported positive results from a phase III pivotal study of Lasmiditan in migraine, dubbed SAMURAI, on September 6, 2016, sending the stock up as much as 131% to $24.65 that day. The stock currently trades around $30.

Mast Therapeutics Inc. (MSTX) on September 21, 2016, announced that its phase III trial of Vepoloxamer in patients with sickle cell disease experiencing vaso-occlusive crisis, dubbed EPIC, failed to meet its primary endpoint. Following the news, the stock cratered 83% that day to $0.10. The stock currently trades around $0.07.

Listed here are some of the drug companies, which are expected to report clinical trial results this quarter.