Why Is Alumis Stock Falling Monday?

Alumis Inc. (NASDAQ:ALMS) shares tumbled Monday despite strong clinical trial outcomes, as investors locked in gains following a 239% surge over the past year. Data Shows Strong Clinical Outcomes Alumis on Saturday shared results from its Phase 3 ONWARD1 and ONWARD2 trials for envudeucitinib, a treatment for moderate-to-severe plaque psoriasis. The data revealed that approximately three out of four patients achieved clear or almost clear scalp psoriasis by Week 24, with significant improvements in quality of life and itch relief appearing as early as Week 4. Envudeucitinib demonstrated encouraging skin clearance. Psoriasis Area and Severity Index (PASI) 90 responses were achieved by 59.9% and 53.1% of envudeucitinib patients at Week 16 (and by 4.8% and 4.3% of placebo patients), increasing to 68.0% and 62.1% at Week 24. PASI 100 responses followed a similar trajectory, with 29.4% and 27.7% of envudeucitinib patients achieving complete skin clearance at Week 16 (as compared to 0.9% and 0.9% of placebo patients), rising to 41.0% and 39.5% at Week 24. Quality‑of‑life improvements and itch relief emerged ahead of PASI 90 skin clearance, and clear or almost clear scalp psoriasis emerged by Week 4, highlighting envudeucitinib’s early onset and broad clinical benefit. The company released topline data in January. FDA Filing Timeline In Focus In addition, the company plans to submit a New Drug Application to the U.S. Food and Drug Administration (FDA) in the second half of this year, highlighting its commitment to advancing this treatment. Technical Indicators Signal Mixed Momentum The stock is currently trading 20.3% below its 20-day simple moving average (SMA) and 21.4% below its 50-day SMA, indicating a bearish trend in the short term. However, it is trading 14.2% above its 100-day SMA, suggesting some longer-term strength, and has increased by 239.66% over the past 12 months, reflecting a significant upward trend in the longer timeframe. The RSI is at 45.35, which is considered neutral territory, indicating that the stock is neither overbought nor oversold. Meanwhile, MACD shows a value of -0.4299, with the signal line at -0.1946, indicating bearish pressure as the MACD is below the signal line. The combination of neutral RSI and bearish MACD suggests mixed momentum, reflecting uncertainty in the stock’s immediate direction. Key Resistance: $26.50 Key Support: $18.00 Analyst Consensus & Recent Actions: The stock carries a Buy Rating with an average price target of $33.42. Recent analyst moves include: Oppenheimer: Outperform (Raises Target to $55.00) (Mar. 30) Chardan Capital: Buy (Maintains Target to $38.00) (Mar. 30) HC Wainwright & Co.: Buy (Lowers Target to $25.00) (Mar. 30) ALMS Stock Price Activity: Alumis shares were down 11.69% at $21.90 at the time of publication on Monday, according to Benzinga Pro data. Image via Shutterstock