What is Going On With These 5 Falling Stocks?

Relypsa Down as Technical Traders Sell

Relypsa Inc (NASDAQ:RLYP) is off by 3.2% today on no fundamental news. There are some bulls who believe that Relypsa could be acquired by a bigger drug company, given that AstraZeneca plc (ADR) (NYSE:AZN) bought hyperkalemia competitor ZS Pharma last year for $2.7 billion. There are also some doubters of that theory, as Relypsa’s drug is in some ways not as great as ZS Pharma’s ZS-9. The uncertainty and lack of a buy-out has translated to some pretty big swings in Relypsa Inc (NASDAQ:RLYP)’s stock price over the past few months. 21 elite funds tracked by Insider Monkey were long Relypsa, holding 31.7% of its float at the end of December.

Liberty Media Corp Recapitalizes into Three Tracking Stocks

It might seem that Liberty Media Corp (NASDAQ:LMCK) / Liberty Media Corp (NASDAQ:LMCA) is having a very bad day, being 50% lower today technically, but fortunately, the value in the company’s stock hasn’t changed much. The lower price is due to a planned recapitalization. The company explained the inner workings as such:

‘[the company] recapitalized its existing common stock into three new tracking stocks: the Liberty Braves common Stock, the Liberty Media (LMDIA) common Stock and the Liberty SiriusXM common Stock (the “recapitalization”). In the recapitalization, each issued and outstanding share of Liberty’s existing common stock was reclassified and exchanged for (a) 1 share of the corresponding series of Liberty SiriusXM common stock, (b) 0.1 of a share of the corresponding series of Liberty Braves common stock and (c) 0.25 of a share of the corresponding series of Liberty Media common stock.’

Hedge fund sentiment for Liberty Media Corp was stable during the fourth quarter, with 41 funds in our system owning shares of both classes of stock at the end of December, up from 40 owning Liberty Media Corp (NASDAQ:LMCA) and 39 owning Liberty Media Corp (NASDAQ:LMCK) at the end of September.

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