Healthcare giant Mylan N.V. (NASDAQ: MYL) with a market cap of $20.88 billion, ended March with magnified efforts to recall EpiPen Auto-Injectors. The stock closed $38.99 on March 31, or a decrease of 1.52% on above-average trading volume.
What initially began as a voluntary recall for select lots of EpiPen and EpiPen Jr. Auto-Injectors of Mylan N.V. (NASDAQ: MYL), has now expanded to include additional lots distributed in the U.S., and now in other markets including Europe and Asia. According to Mylan’s press release, the company conducted the recall following reports outside the U.S. about failure to activate the device due to a defect in a component. While Mylan stated that events of defect are “extremely rare,” the company recognized that the component failure is critical to patients who may experience life-threatening allergic reactions, which the injection was created for.
The recall is executed by Meridian Medical Technologies, a subsidiary of Pfizer Inc. (NYSE: PFE) and Mylan’s manufacturing partner for the auto-injector. Pfizer also stepped back by 14 cents to $34.21 at the close of market April 1, from its previous close of $34.35 in below-average trading volume.
What Does The Smart Money Sentiment Say?
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According to historical data at Insider Monkey, hedge funds showed minor changes on Mylan stocks sentiment, from 39 funds in the third quarter of 2016 to 38 in the fourth quarter of the same year.
The Bottom Line
Following the expanded recall efforts, traders got busy with Mylan N.V.(NASDAQ: MYL) as shares of the company traded slightly above its average volume on March 31, ending the day 1.52% lower from the previous close and underperforming versus the Nasdaq which rolled down by 0.04%. Meanwhile, hedge funds also shied away from Pfizer from 83 funds in the third quarter to 82 funds in the fourth quarter of 2016. Here is an interesting read about the 10 best internal medicine residency programs in America.