01:54 PM EDT, 06/02/2026 (MT Newswires) -- Healthcare stocks declined Tuesday afternoon, with the NYSE Healthcare Index and the State Street Health Care Select Sector SPDR ETF (XLV) each falling 1.1%.

The iShares Biotechnology ETF (IBB) dropped 3%.

In corporate news, Abivax ( ABVX ) faces an increasing risk of black box warning for obefazimod due to malignancies reported from a recent trial, Wedbush Securities said in a note. Abivax ( ABVX ) shares fell nearly 42%.

Heron Therapeutics ( HRTX ) shares dropped 39% after the company said the US District Court for the District of Delaware has ruled that claims in two of its Cinvanti injectable emulsion patents are invalid.

Praxis Precision Medicines' ( PRAX ) shares tumbled 16% after it reported late Monday that its phase 2/3 trial assessing vormatrigine to treat focal onset seizures failed to meet its primary endpoint of percent change in monthly seizure frequency from baseline.