Story
Boeing Slips on 737 MAX Software Glitch; Kodiak Sciences Surges on Trial Data
Summary
Boeing shares declined in premarket trading following a report of a new software issue with its 737 MAX, while Kodiak Sciences surged on positive clinical trial results for its eye-disease treatments.
Shares of Boeing Co. fell in premarket trading Monday after a report detailed a new software glitch in its 737 MAX aircraft, while biopharmaceutical firm Kodiak Sciences saw its stock surge following the release of positive late-stage clinical trial data.
Boeing Faces New Software Scrutiny
Boeing shares were down 1.9% after The Wall Street Journal reported the planemaker identified a software issue that can disable an automated navigation function on its 737 MAX. The problem can occur during a landing following a missed approach and was discovered after a recent cockpit software update.
According to the report, the glitch could force pilots to fly manually without certain autopilot functions at low altitudes. The issue has reportedly prompted a review by U.S. regulators, renewing concerns over the aircraft's software systems.
Kodiak Soars on Positive Trial Results
In contrast, Kodiak Sciences stock surged 31.9% in premarket activity after the company announced positive topline results from its pivotal DAYBREAK Phase 3 study. The trial is evaluating two investigational therapies for wet age-related macular degeneration.
AdThe strong market reaction indicates that the study likely met its primary endpoint of showing non-inferiority in visual acuity gains compared to the current standard treatment, aflibercept. The trial is notable for evaluating two separate drug candidates, Zenkuda and KSI-501, within a single study, potentially creating two distinct commercial opportunities for the company.
Other Notable Premarket Movers
Other companies saw significant moves ahead of the market open:
- Roblox (RBLX): Shares fell 4% after analysts at Jefferies downgraded the stock to "Underperform" from "Hold." The firm cited concerns that the stock's recent rally had priced in an overly optimistic outlook for user growth and monetization.
- Circle Internet Group: The stock declined 3.5% following the announcement that Chief Financial Officer Jeremy Fox-Geen plans to step down at the end of the year. The news prompted profit-taking after a recent strong performance in the share price.
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