Olema Pharmaceuticals (NASDAQ:OLMA) plunged 28% in premarket trading Monday after releasing data from an early- to mid-stage breast cancer study that was overshadowed by disappointing results from Roche.
Matthew Biegler, analyst at Oppenheimer, noted that Olema’s “stellar” combination therapy data risk being eclipsed by Roche’s breast cancer trial outcome, “which missed the buy-side’s mark.”
Roche’s evERA trial failed to show a significant benefit in a specific patient subgroup, raising concerns about the company’s front-line persevERA trial. That disappointment is also casting a shadow over Olema’s OPERA-02 study.
Despite the setback, Biegler reaffirmed his positive view of Olema’s drug, stating that “Olema’s palazestrant is a wonderful drug” and suggesting that if the front-line approach “isn’t the answer, the company could always pivot OPERA-02 into the second-line.”
He added that Roche’s persevERA trial will likely continue to weigh on Olema’s stock until its data readout in the first half of 2026.
Biegler also highlighted that Olema’s palazestrant demonstrated “more than twice the benefit that the control arm in (Roche’s) evERA mustered,” though he cautioned that many investors may discount these findings since the Olema trial was single-arm.
Olema Pharmaceuticals stock price
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