Why Is Allakos Stock Plunging On Monday?
1. Allakos discontinued clinical development of AK006 after phase 1 trial disappointment. 2. Only 34 patients were enrolled in the trial, showing no clinical benefits. 3. Company plans to cut workforce by 75% related to AK006. 4. Estimated restructuring costs to close AK006 are $34M to $38M. 5. ALLK stock has dropped 78.5%, indicating investor concern.