Gilead Sciences (NASDAQ:GILD) Terminates ARTEMIS-IPF Phase III Study

Citing lack of efficacy, Gilead Sciences (NASDAQ:GILD) announced they have terminated their ARTEMIS-IPF Phase III study.

Wedbush said, "Last night, Gilead announced termination of the ARTEMIS-IPF Phase III study due to lack of efficacy...We believe the termination of ambrisentan in IPF will be only slightly negative on GILD stock, as the Street has not modeled any sales from this indication. And this termination is positive for ITMN, whose Esbriet received a Positive Opinion from the CHMP last week and�is poised to be approved for mild-to-moderate IPF in the EU during Q1:11...An acquisition of Intermune (Nasdaq: ITMN) may be a strategic fit for GILD, especially given the failure of ambrisentan in IPF."

Wedbush maintains an "Underperform" rating on Gilead Sciences, which was trading at $36.01, down $0.33, or 0.91 percents, as of 12:28 PM EST. Wedbush has a price target on them of $40.