The U.S. stock market opened lower with the three main indexes in red. Despite this, some stocks are drastically moving today.
Achillion Pharmaceuticals Inc. (ACHN, Financial) shares rallied 36% after the company reported a second-quarter loss of 16 cents, in line with estimates. Research and development expenses were $18.3 million, a 29% increase from the year-ago quarter, principally to fund trial costs related to ACH-4471 and ACH-5228.
Four patients responded well to a mid-stage clinical study of ACH-4471, aimed at treating paroxysmal nocturnal hemoglobinuria.
“Our focus in early clinical development with ACH-4471 has been on achieving proof-of-concept via factor D inhibition, and we are pleased to report that we believe we have achieved this goal," President and CEO Milind S. Deshpande said. "The emerging interim results from our phase 2 PNH trial have demonstrated a dose response to treatment with what we believe to be meaningful improvements in LDH, hemoglobin, fatigue score and other markers of response. To date, orally administered ACH-4471 has been well tolerated in this PNH clinical trial with four patients enrolled and treated with ACH-4471, two of whom have now received more than four months of dosing.”
Fossil Group Inc. (FOSL, Financial) shares are down almost 27% in morning trading on the back of the company reporting its financial results for the second quarter. It posted a loss of $(344.7) million compared to $6 million for the same quarter last year. Diluted loss per share was $7.11 compared to 12 cents for the second quarter of fiscal 2016.
The company’s revenue of $596.8 million was 12.9% lower than the prior-year quarter. Moreover, Fossil managed to come up short of earnings expectations by 15 cents. Revenue came up short of the consensus estimate of $21.1 million. Further, the company announced the departure of Chief Financial Officer Dennis Secor.
For the third quarter, the company expects to report a loss per share in the range of 44 cents to 11 cents, including six cents for restructuring charges. Net sales are forecasted to decline 8% to 14%. For the full year, the company now expects loss per share in a range of $7.42 to $6.62, including $6.50 of non-cash intangible asset impairment charges and 60 cents of restructuring charges. Net sales are expected to decline between 4.5% and 8.5%.
Disclosure: The author holds no position in any stocks mentioned.
