Corcept Therapeutics' stock plummeted 5.06% during intraday trading on Tuesday, following news of legal action against the company.
The sharp decline comes after the Schall Law Firm filed a securities fraud class action against Corcept Therapeutics. The lawsuit alleges the company made false and misleading statements about the viability and FDA approval prospects of its product candidate relacorilant during a specified period from October 2024 to December 2025, despite allegedly knowing that the FDA viewed its clinical data as inadequate.