Genentech's (DNA) shares fell Wednesday after the company's sales of its highly touted cancer drug Avastin came in short of expectations for the second quarter. Even though overall earnings and revenue were strong, and Genentech lifted its full-year forecast, shares fell 3.6% to $81.05.
Medical-device maker Cyberonics (CYBX) sank following an announcement that the company would delay filing its form 10-K with the Securities and Exchange Commission pending the completion of an inquiry into its previous stock-option grants and accounting issues arising from the results of the review.
Separately, Cyberonics said it received Food and Drug Administration approval of a new label for its vagus nerve-stimulating device used to treat epilepsy and depression, as well as new programming software for the VNS therapy device model 250. Shares were down 0.9% to $21.62.
Shares of Teva Pharmaceutical (TEVA - Get Report) fell after the company said it was ending its marketing agreement with Japanese pharmaceuticals company Eisai for the Parkinson's disease drug Azilect. The companies entered the agreement in May 2003, and since then, Teva's neuroscience sales efforts have doubled, the company says. Shares fell 1.6% to $31.57.Sanofi-Aventis (SNY - Get Report) dipped despite results from a recent study showing its drug Ambien CR is well tolerated and effective in improving sleep for up to six months in patients with chronic primary insomnia. Shares fell 30 cents to $49.38 lately. Genzyme's (GENZ) stock rose 8% to $62.61 after the maker of drugs for rare diseases reported earnings and revenue that beat estimates. The company reported second-quarter revenue of $793.4 million, beating estimates of $778.6 million. Excluding certain charges, the company earned 68 cents a share in the second quarter vs. analysts' estimates of 66 cents a share. Shares of Hi-Tech Pharmacal (HITK), a manufacturer of liquid prescription and over-the-counter drugs and nutritional products, rose 6.2% to $18.26 after the company reported fourth-quarter results that included sales growth of 15% and a 33% increase in earnings per share. Kos Pharmaceuticals' (KOSP) shares gained 18 cents to $39.16 after the company said it applied for FDA approval of a complete dosage range for its once-daily cholesterol drug Niaspan.