It's hard to believe ACADIA Pharmaceuticals (NASDAQ:ACAD) ever traded at $1.05. But that's where it stood, ignored when The Cheap Investor recommended it. After running as high as $51.99, the stock has pulled back. But the story is still hot to this day.
Just months after the FDA approved its drug for Parkinson's disease Psychosis, sales have been exploding. In the third quarter of 2016, sales were already up to $5.4 million. While the PDP market is significant, with an estimated one million patients, the drug's potential exposure to Alzheimer's disease Psychosis may be even greater.
At the moment, as many as 50% of Alzheimer's patients can develop ADP... Should the ACAD drug successfully expand into this arena, sales could soar to $1 billion by 2022. For that reason, there is speculation that big pharmaceutical companies could be ready to pounce and make a big offer.