Markets are trading higher on Monday, as HSBC Holdings PLC said in a report earlier today that the markets are poised to remain bullish. However, some stocks are deep in the red today, including Adamis Pharmaceuticals Corp (NASDAQ:ADMP), AbbVie Inc (NYSE:ABBV), ProNAi Therapeutics Inc (NASDAQ:DNAI), Immunomedics, Inc. (NASDAQ:IMMU) and Ocular Therapeutix Inc (NASDAQ:OCUL). Let’s examine the factors hurting these stocks today and see what smart money investors think about these stocks.
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Adamis’ Epinephrine Drug Fails to Get Approval
Adamis Pharmaceuticals Corp (NASDAQ:ADMP)’s stock has plunged by more than 50% today after the company received a Complete Response Letter (CRL) by the US Food and Drug Administration (FDA) regarding its epinephrine drug for severe allergic reactions. The FDA has advised the San Diego based company to increase its human factors and product stress testing in order to get an NDA for the drug. Only four funds from our database were long Adamis Pharmaceuticals Corp (NASDAQ:ADMP) at the end of the first quarter of 2016. Jeffrey Jay and David Kroin’s Great Point Partners owns more than 2.1 million shares of the company, according to its latest 13F filing.
Investors Still Not Impressed By AbbVie’s Cancer Drug
AbbVie Inc (NYSE:ABBV) impressed with the results of its lung cancer drug Rova T on Sunday, but several reports depict that investors are still not happy with the company’s decision to spend a whopping $5.8 billion to buy Stemcentrx, the company which started the production of Rova T. According to the results announced by the company, 11 out of 60 patients experienced shrinkage of tumor, and 41 patients achieved a clinical benefit due to Rova T. However, according to Barclays’ analyst Geoff Meacham, investors were expecting more from the drug. He thinks that Rova T only showed a “modest” incremental median overall survival benefit and added AbbVie’s rival Bristol-Myers Squibb Co (NYSE:BMY) is still a winner in the eyes of investors. AbbVie’s stock has declined more than 4% so far today. From our system, 65 hedge funds had approximately $5.2 billion worth AbbVie Inc (NYSE:ABBV)’s stock at the end of March. Julian Baker and Felix Baker’s Baker Bros. Advisors is one of the biggest shareholders with more than 14 million shares.
On the next page, we will discuss ProNAi, Immunomedics and Ocular Therapeutix.