Tidewater, Inovio, Ariad, and More: What is Going on With These Falling Stocks?

Genworth Financial Inc (NYSE:GNW) is off by 7.6% after China Oceanwide agreed to buy the company for $5.43 in cash per share, or $2.7 billion. Shares of Genworth have not rallied despite the purchase news as some traders apparently doubt whether the deal will go through and are selling because Genworth announced disappointing preliminary charges for the third quarter of 2016. Due to its annual review of assumptions and methodologies, Genworth expects to record a non-cash tax charge of $275 million-to-$325 million. The company also expects to increase its LTC claim reserves by $400 million-to-$450 million pre-tax. 22 funds that we track owned shares of Genworth Financial Inc (NYSE:GNW) at the end of the second quarter.

Ariad Pharmaceuticals, Inc. (NASDAQ:ARIA) shares are 7.5% in the red after Anupam Rama of JPMorgan downgraded the stock to ‘Underweight’ from ‘Neutral’ and trimmed his price target on it to $7 from $8, saying that he thinks Ariad has incremental downside risk due to potential headlines on drug pricing. Given that Iclusig has seen four price hikes this year alone, the drug is more susceptible to the media spotlight than others. 27 funds in our database had a long position in Ariad Pharmaceuticals, Inc. (NASDAQ:ARIA) at the end of the second quarter.

Syngenta AG (ADR) (NYSE:SYT) has retreated by 6.5% after ChemChina, the company which agreed to buy it earlier this year, failed to submit the appropriate remedies for the EU’s early-stage review of the merger by the October 21 deadline. Due to the failure, the EU has until the October 28 to either give the go-ahead to the deal with no further stipulations or to undertake a phase two probe. Traders are selling because many think the deal will have to undergo a phase two probe, which could add fourth months or more to the regulatory process. The number of funds in our system with holdings in Syngenta AG (ADR) (NYSE:SYT) rose by one during the second quarter to 33 at the end of June.

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