AbbVie’s ABBV mid-stage studies of emraclidine for schizophrenia failed to meet their primary endpoint. Shares of the company lost 12.6% on Monday in response to the disappointing news. However, Bristol Myers’ BMY stock was up 10.

AbbVie stock drops after emraclidine fails Phase 2 trials for schizophrenia, raising questions about its neuroscience strategy and boosting competition for Cobenfy.

Negative data cost AbbVie billions of dollars in market value and convinced analysts Bristol Myers had placed a better bet in buying Karuna Therapeutics.

AbbVie stock drops after Phase 2 trials of emraclidine fail to meet primary endpoint. The company continues data analysis for next steps.

AbbVie Inc.’s disappointing trial results for its new schizophrenia drug bode well for rival Bristol Myers Squibb Co., analysts said. On Monday AbbVie ABBV said that its Phase 2 trial investigating emraclidine as a once-daily oral monotherapy treatment for adults with schizophrenia did not meet the primary endpoint of showing a “statistically significant” improvement when compared with a placebo group.

Leerink Partners upgraded Bristol-Myers Squibb (NYSE:BMY) to Outperform from Market Perform on Tuesday, boosting sales projections for the company’s new schizophrenia therapy Cobenfy following a trial setback to a potentially competing product from AbbVie (ABBV).