Dear Valued Visitor,

We have noticed that you are using an ad blocker software.

Although advertisements on the web pages may degrade your experience, our business certainly depends on them and we can only keep providing you high-quality research based articles as long as we can display ads on our pages.

To view this article, you can disable your ad blocker and refresh this page or simply login.

We only allow registered users to use ad blockers. You can sign up for free by clicking here or you can login if you are already a member.

Why Are These Stocks Deep in Red Today?

The three major indexes are slightly in the green today after Federal Reserve Chairwoman Janet Yellen said that the institution would take a cautious approach to hiking rates.

Among the stocks deep in the red today are Medgenics Inc (NYSEMKT:MDGN), SCYNEXIS Inc (NASDAQ:SCYX)Canadian Pacific Railway Limited (USA) (NYSE:CP), Werner Enterprises, Inc. (NASDAQ:WERN), and Immunomedics, Inc. (NASDAQ:IMMU). Let’s find out why traders are selling and see what elite funds think of each stock.

At Insider Monkey, we track around 770 hedge funds and institutional investors. Through extensive backtests, we have determined that imitating some of the stocks that these investors are collectively bullish on, can help retail investors generate double digits of alpha per year. The key is to focus on the small-cap picks of these funds, which are usually less followed by the broader market and allow for larger price inefficiencies (see the details here).

Abbvie ABBV biopharmaceuticals cell blood dna gene stem test biotech research


Medgenics and SCYNEXIS Down on Offering Pricing

Medgenics Inc (NYSEMKT:MDGN) shares are 13% lower today after the company priced its previously announced offering of 3.64 million shares of common stock at $5.50 per share. The company has granted underwriters a 30 day option to buy an additional 15% of shares of common stock offered to the public at the same price. Medgenics plans to use the net proceeds for product development activities, licensing and research collaborations and other general corporate purposes. Six funds from our database amassed $34.11 million worth of Medgenics Inc (NYSEMKT:MDGN)’s stock at the end of March, which accounted for 23.50% of the float on March 31, versus nine funds and $43.66 million, respectively, on December 31.

Follow Aevi Genomic Medicine Inc. (NYSEMKT:GNMX)

SCYNEXIS Inc (NASDAQ:SCYX) is 14% in the red after the company priced its public offering of 9.375 million shares of common stock and warrants to purchase 4,218,750 shares at $2.40 per share. The warrants have a five year term, are immediately exercisable upon issuance, and have an exercise price of $3 per share. SCYNEXIS has granted underwriters a 30-day option to buy another 1,406,250 shares of common stock and warrants to purchase up to 632,812 shares of common stock at the public offering price minus underwriting discounts and commissions. The number of funds from our database with holdings in SCYNEXIS Inc (NASDAQ:SCYX) fell by one quarter-over-quarter to eight at the end of March.

Follow Scynexis Inc (NASDAQ:SCYX)
Trade (NASDAQ:SCYX) Now!

On the next page, we examine Canadian Pacific Railway Limited, Werner Enterprises, and Immunomedics.
Canadian Pacific Trims Guidance

Canadian Pacific Railway Limited (USA) (NYSE:CP)’s shares are off 2.5% after the railroad company warned its second-quarter revenues will decline by around 12% year-over-year, and that its adjusted EPS will be CAD 2.0 due to lower-than-anticipated volumes in bulk commodities as well as the negative effects of the devastating wildfires in northern Alberta. Analysts were expecting earnings of CAD 2.48 per share. At the end of March, 36 funds tracked by us had a long position in Canadian Pacific Railway Limited (USA) (NYSE:CP), up by seven funds from the previous quarter.

Follow Canadian Pacific Railway Ltd (NYSE:CP)
Trade (NYSE:CP) Now!

Werner Enterprises Guides Lower

Werner Enterprises, Inc. (NASDAQ:WERN) is another victim of soft guidance today, as shares of the trucking company have lost nearly 10%. Due to increasing wage pressures and sluggish freight market conditions, Werner anticipates earnings per share to be in the range of $0.21-$0.25, versus analyst estimates of $0.40 per share. The earnings could be lower on an adjusted basis due to a $3.4 million pre-tax gain on the sale of real estate. A total of 18e funds were long Werner Enterprises, Inc. (NASDAQ:WERN) at the end of the first quarter.

Follow Werner Enterprises Inc (NASDAQ:WERN)
Trade (NASDAQ:WERN) Now!

Immunomedics Sells Off on Technicals

Immunomedics, Inc. (NASDAQ:IMMU) shares have retreated by another 11% today after the stock sliced through and closed below several key moving averages in the preceding days. Some traders evidently bought the stock in anticipation of a good ASCO presentation, but those bulls were disappointed after ASCO kicked Immunomedics out for trying to present previously-presented data elsewhere. Immunomedics is also in the news for appointing Michael Garone as CFO. Nine funds tracked by us held stakes in Immunomedics, Inc. (NASDAQ:IMMU) at the end of the first quarter, down by two funds from the previous quarter.

Follow Immunomedics Inc (NASDAQ:IMMU)
Trade (NASDAQ:IMMU) Now!

Disclosure: none

DOWNLOAD FREE REPORT: Warren Buffett's Best Stock Picks

Let Warren Buffett, George Soros, Steve Cohen, and Daniel Loeb WORK FOR YOU.

If you want to beat the low cost index funds by 19 percentage points per year, look no further than our monthly newsletter.In this free report you can find an in-depth analysis of the performance of Warren Buffett's entire historical stock picks. We uncovered Warren Buffett's Best Stock Picks and a way to for Buffett to improve his returns by more than 4 percentage points per year.

Bonus Biotech Stock Pick: You can also find a detailed bonus biotech stock pick that we expect to return more than 50% within 12 months.
Subscribe me to Insider Monkey's Free Daily Newsletter
This is a FREE report from Insider Monkey. Credit Card is NOT required.