Mirati Therapeutics (MRTX) Case

• Mirati released trial results that negatively surprised investors.

• $MRTX dropped 50%+ for 3 days, seriously damaging stockholders.

• Days before $MRTX Leaders sold their positions.

• Investors suspect $MRTX & its Leaders of engaging in unlawful business practices.

On December 5, 2022, Mirati Therapeutics (MRTX) announced early results from a phase 2 trial for Adagrasib as a first-line combination therapy to treat non-small cell lung cancer (NSCLC) which showed a 49% objective response rate which disappointed the investment community as the result wasn't much better than the 48% overall response rate for Keytruda plus chemotherapy, a standard treatment.

The tumor response rate came below an earlier analysis Mirati shared in June at the American Society of Clinical Oncology annual meeting.

On this news, $MRTX declined over 50% for 3 days period, experienced a series of analyst downgrades and Mirati lost more than $2.9 billion of its market capitalization, seriously injuring investors.

Analysts from Citi, BMO Capital Markets, JP Morgan, SVB Securities, and Berens all downgraded shares.

Insiders Transactions:

• On November 28, 2022, Mirati President, Founder, and Head of R&D Charles Baum sold 69,028 shares of Mirati stock,

• On December 5, 2022, Chief Scientific Officer Jamie Christensen sold 1,726 shares.

Earlier, on November 22, 2022, Mirati has been mentioned in reports as a possible takeover target. Bloomberg reported that Mirati has drawn takeover interest ahead of a key data readout next month and indicated Pfizer (PFE), Merck (MRK), Bristol Myers Squibb (BMY), and AstraZeneca (AZN) as potential buyers.

Taking all representations, insider transactions, M&A rumors, and the significance of market reaction, Investors have grounds to suspect Mirati and its Leaders of misleading, material facts concealment, omissions, and unlawful business practices.