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Novartis's Breakthrough Against Drug-Resistant Malaria

Novartis AG has recently unveiled groundbreaking data from its KALUMA Phase 3 study, highlighting the promising potential of KLU156 (GanLum), an experimental treatment for malaria. This innovative medication represents a significant stride in the global fight against this devastating disease, especially in an era marked by increasing drug resistance.

Novartis's New Malaria Treatment Shows Impressive Results

On November 13, 2025, Novartis announced compelling results from its KALUMA Phase 3 clinical trial for KLU156, a novel malaria treatment combining ganaplacide, a compound with a unique mechanism of action, and a new, once-daily formulation of lumefantrine. This dual-component therapy, developed in collaboration with Medicines for Malaria Venture (MMV), achieved its primary goal by demonstrating non-inferiority compared to the current gold-standard treatments.

The trial's findings revealed an impressive 97.4% PCR-corrected cure rate for GanLum, outperforming the 94.0% achieved by standard care. When analyzed through conventional per-protocol methods, these figures further ascended to 99.2% and 96.7% respectively. The study enrolled 1,688 adults and children, who received GanLum in a granular sachet format once daily for three days.

Further detailed analysis underscored GanLum's high effectiveness against mutant malaria parasites, which are increasingly responsible for partial drug resistance. The treatment also exhibited a swift impact on mature gametocytes, the parasitic stage crucial for transmission, suggesting its potential to curb the spread of malaria effectively. Importantly, the safety profile of GanLum was found to be consistent with existing treatments, with adverse events aligning with the underlying disease.

Professor Abdoulaye Djimdé, a distinguished expert in Parasitology and Mycology at the University of Science, lauded GanLum as potentially the most significant advancement in malaria treatment in decades. He emphasized its high efficacy against various forms of the parasite, including those developing resistance to current medications. Novartis is now actively pursuing regulatory approvals from health authorities, aiming to make GanLum available as soon as possible. The U.S. Food and Drug Administration had already granted Fast Track and Orphan Drug Designations to the combination therapy in 2022.

If approved, GanLum would mark the first substantial innovation in malaria treatment since artemisinin-based combination therapies were introduced over a quarter-century ago. This development follows Novartis's recent achievement in July, when Swissmedic approved Coartem (artemether-lumefantrine) Baby, the first malaria medication specifically sanctioned for newborns and young infants.

This pioneering research by Novartis offers a beacon of hope in the ongoing battle against malaria. The development of GanLum, with its potent activity against drug-resistant strains and its capacity to disrupt transmission, underscores the critical importance of continuous innovation in global health. Such advancements not only promise to save countless lives but also provide a renewed sense of optimism for eradicating a disease that has plagued humanity for centuries.

Market Movers: Consumer Discretionary Stocks Surge and Decline Intraday

On Thursday, the consumer discretionary sector witnessed significant fluctuations, with several stocks demonstrating substantial intraday gains while others experienced sharp declines. This dynamic activity reflects varied investor responses to recent corporate developments, including the release of third-quarter earnings reports from some of the featured companies. The diverse movements underscore the inherent volatility and opportunities present within this segment of the market.

Among the top performers, Playboy Inc. (NASDAQ:PLBY) saw its stock price climb by 28.7%, reaching $1.75 during regular trading hours. This surge occurred after the company released its Q3 earnings report yesterday, with its market capitalization currently standing at $146.2 million. Similarly, Dillard's Inc. (NYSE:DDS) shares appreciated by 19.76%, closing at $725.71. The retail giant's market value is now approximately $9.4 billion, following its Q3 earnings announcement today.

Bragg Gaming Group Inc. (NASDAQ:BRAG) also experienced a notable increase, with its stock rising by 19.51% to $2.47. The company, which has a market capitalization of $52.6 million, had also disclosed its third-quarter financial results earlier today. Torrid Holdings Inc. (NYSE:CURV) recorded an 17.82% increase in its share price, reaching $1.35, pushing its market value to $114.0 million. Lulus Fashion Lounge Holdings Inc. (NASDAQ:LVLU) saw its stock jump by 16.97% to $5.72, bringing its market capitalization to $13.4 million, following its Q3 earnings release yesterday.

Greenlane Holdings Inc. (NASDAQ:GNLN) shares also advanced by 11.94%, trading at $3.00, with a market cap of $12.6 million. These positive movements suggest a favorable market reaction to these companies' recent performance or other positive news influencing investor sentiment.

Conversely, several consumer discretionary stocks faced considerable downward pressure. Kaixin Holdings (NASDAQ:KXIN) witnessed a sharp decline of 64.1%, with its shares falling to $0.43 and its market capitalization at $32.9 million. PetMed Express Inc. (NASDAQ:PETS) shares decreased by 32.93%, trading at $1.95, resulting in a market value of $60.9 million. ECD Automotive Design Inc. (NASDAQ:ECDA) stock plummeted by 30.51% to $0.64, with its market cap reduced to $1.3 million.

Newton Golf Co Inc. (NASDAQ:NWTG) shares dropped by 23.15% to $1.03, impacting its market value to $6.1 million, as the company's Q3 earnings were released today. Classover Holdings Inc. (NASDAQ:KIDZ) shares also declined by 21.83% to $0.48, with its market capitalization standing at $15.2 million. Lastly, KinderCare Learning Companies Inc. (NYSE:KLC) saw its stock fall by 18.81% to $4.06, with a market value of $590.6 million, after reporting its Q3 earnings yesterday. These declines indicate potential concerns among investors regarding these companies' financial health or future prospects.

The intraday trading session presented a mixed bag for consumer discretionary companies, showcasing both significant growth opportunities and substantial risks. Investor sentiment, driven by recent earnings reports and broader economic factors, played a crucial role in determining the daily trajectories of these stocks. This highlights the dynamic nature of the market, where rapid shifts can occur based on company-specific news and overall sector performance.

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Palantir CEO Questions AI Investment Value, Warns of Bubble Risks

Palantir's chief executive, Alex Karp, has expressed reservations regarding the extensive capital being poured into artificial intelligence, cautioning that a significant portion of these investments might not generate adequate returns to offset their considerable expenditures. This perspective emerges as the technology sector grapples with escalating AI spending and investor concerns about the long-term viability of these ventures.

Palantir's CEO Highlights Disparity in AI Market Value

Speaking at the prestigious Yahoo Finance's Invest event on November 13, 2025, Palantir CEO Alex Karp articulated a critical distinction within the burgeoning artificial intelligence landscape. Karp emphasized that the AI market essentially comprises two primary segments. One segment involves the strategic deployment of AI to achieve tangible, quantifiable improvements in areas such as revenue generation, profit margins, or even in critical applications like battlefield effectiveness. These are the instances where AI demonstrates a clear, measurable impact and provides significant value. In contrast, Karp pointed out a second, larger segment of the AI market focused on less sophisticated applications. He suggested that while these applications may utilize AI, they often fail to deliver substantial enough value to warrant the immense costs associated with developing and implementing large language models and other advanced AI technologies. This critical evaluation from the leader of Palantir, a company deeply involved in AI solutions for both commercial enterprises and governmental bodies, underscores a growing debate about the sustainability and genuine economic returns of current AI investment trends.

Karp's candid remarks arrive amidst a period of heightened investor scrutiny and unease regarding a potential 'AI bubble.' Despite the tech sector witnessing unprecedented growth and soaring stock valuations, particularly for companies heavily invested in AI, there is a palpable sense of apprehension. Influential figures in the financial world, including renowned short sellers Jim Chanos and Michael Burry, alongside prominent CEOs such as Jamie Dimon and Jeff Bezos, have openly cautioned that the market might be entering a bubble territory, implying that asset prices are inflated and a market correction could be imminent. Palantir itself, represented by the ticker PLTR, has experienced a remarkable surge in its stock value, climbing 141% in 2025. However, this impressive performance was recently tempered by investor concerns about the company's valuation following its latest earnings report. Karp further elaborated that while Palantir aims to lead the charge in delivering substantial AI value to both private and public sectors, he perceives the consumer-facing AI market as inherently 'weak and dissipating,' suggesting that its foundational value proposition is less robust.

The insights shared by Alex Karp serve as a potent reminder that innovation, however transformative, must ultimately align with economic realities. His differentiation between impactful AI applications and those that may be overvalued underscores the need for discerning investment and strategic development in the rapidly evolving AI sector. This perspective encourages stakeholders to critically assess the genuine utility and return on investment of AI technologies, rather than being swept away by the prevailing market enthusiasm. For investors, this message highlights the importance of rigorous due diligence and a focus on companies that can demonstrate concrete, measurable benefits from their AI endeavors. For developers and businesses, it's a call to concentrate on building AI solutions that solve real-world problems and drive significant value, moving beyond speculative ventures. Ultimately, Karp's warning is a valuable contribution to the ongoing conversation about the future trajectory of AI, urging a balanced approach that champions both innovation and sustainable economic impact.

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