There Are Risks Of Investing In Medical Marijuana, Says GW Pharmaceuticals

This trial studied the effectiveness of Sativex use alongside opioid therapy in controlling pain in 399 patients. Unfortunately for the two companies, Sativex did not show it was statistically better at managing pain than a sugar pill placebo. The companies evaluated Sativex’s performance on two different scales, and the drug failed to hit its target on both.

In addition, 19% of patients withdrew from treatment because of adverse events tied to the use of Sativex, which was a bit above the 15% who withdrew from the placebo arm of the study. More to come The trial results are disappointing, but GW Pharmaceuticals and Otsuka could still prove Sativex works.

The two remaining trials should provide additional insight in 2015. The first of these two trials is expected to deliver public data in the second quarter of this year. However, investors might want to rein in expectations for any change in results given that the study’s design is identical to this first failed effort.

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