Investors Urged to Act Before Deadline in Sage Therapeutics Case

Important Deadline for Sage Therapeutics Investors

Investors holding stocks in Sage Therapeutics, Inc. are reminded of a crucial deadline approaching. The Law Offices of Howard G. Smith is alerting all affected investors about the upcoming deadline to file a lead plaintiff motion. If you purchased shares of Sage Therapeutics, Inc. (NASDAQ: SAGE) during the designated Class Period, now is the time to consider your legal options.

Understanding the Class Period

The timeline of interest for this class action spans from April 12, 2021, to July 23, 2024. During this timeframe, holders of Sage stocks may have been impacted by significant developments relating to the company’s product approvals and clinical trials.

Recent Developments Impacting Sage’s Stock

Recent announcements by Sage Therapeutics have resulted in serious stock price fluctuations and investor concerns. Notably, on August 4, 2023, the U.S. Food and Drug Administration (FDA) made a significant announcement. The FDA approved the New Drug Application (NDA) for zuranolone, but solely for the treatment of postpartum depression (PPD) in adults. However, they issued a Complete Response Letter for the treatment of major depressive disorder (MDD), highlighting that the submitted application did not provide sufficient evidence of effectiveness for this indication.

This regulatory news caused Sage’s stock price to drop dramatically by $19.35, a staggering 53.6% loss, closing at $16.75 per share shortly thereafter on August 7, 2023. This drastic decline undoubtedly hurt many investors.

Further Setbacks and Investor Rights

On April 17, 2024, the situation worsened when Sage reported adverse results from a Phase 2 study of SAGE-718, aimed at treating mild cognitive impairment due to Parkinson's Disease. The study did not reach its primary endpoint of showing significant effectiveness, leading to another significant reduction in stock price, which closed at $12.57 per share after a decline of $3.06 or roughly 19.6%.

Additionally, the aftermath of a Phase 2 study for Sage-324 on July 24, 2024, revealed that this too did not yield positive results, further decreasing the stock value by $2.70, subsequently closing at $10.38 per share. These events have created an environment where investor confidence and trust are eroded.

Class Action Details and Legal Rights

The allegations in the class action assert that Sage Therapeutics and key individuals in the company misled investors through material omissions and false statements regarding the effectiveness and approval prospects of their products. Such statements included false assurances about the efficacy of zuranolone and misleading projections related to Sage-718 and Sage-324.

If you purchased or obtained shares of Sage during the specified Class Period, you are eligible to seek representation in this class action suit. While it's essential to act, it is not necessary to do so immediately. You can choose to seek counsel or remain an absent class member without taking further action. The deadline to file your lead plaintiff motion is set for October 28, 2024, so staying engaged with developments is critical.

Contacting Legal Experts

The Law Offices of Howard G. Smith encourage investors to reach out for more information regarding their rights and how to navigate this situation. You can contact the firm directly via telephone at (215) 638-4847. Their offices are ready to help guide investors through this complex legal landscape.

Frequently Asked Questions

What is the purpose of the class action lawsuit against Sage Therapeutics?

The class action aims to address grievances from investors regarding misleading statements made by Sage Therapeutics that affected stock prices during the Class Period.

How has Sage Therapeutics' stock performed recently?

Sage’s stock has shown severe fluctuations due to regulatory announcements and disappointing clinical trial results, leading to significant losses for investors.

When is the deadline to file a lead plaintiff motion?

The deadline for filing a lead plaintiff motion in the class action is October 28, 2024.

How can I participate in the class action lawsuit?

Investors may participate by retaining legal counsel or taking no immediate action to remain a member of the class action suit.

Who can I contact for more information regarding my options?

The Law Offices of Howard G. Smith are available for inquiries, providing clarity on legal rights and options for affected investors.

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