Health stocks were kept relatively in-line with the broader markets on a fairly lame hump day for the sector.
The Amex pharmaceutical index was down 1.77, or 0.56%, at 314.38. Components
Wyeth
( WYE) and
King Pharmaceuticals
( KG) were both down more than a percentage point, but most pharma movement was otherwise modest.
The Amex and Nasdaq biotechnology indices were down 0.2% and 0.1%. Components of the latter index,
Vertex
(VRTX) - Get Report
gave up 3.5% and
Alkermes
(ALKS) - Get Report
fell 46 cents, or 2.8%.
The Food and Drug Administration
on Tuesday of the risk of adverse reactions at the injection site in patients given alcohol dependence drug naltrexone. Regulators said they received 196 reports of injection site reactions and are now working with the drug's manufacturers to make changes to the prescribing information based on those reports.
Naltrexone is an intramuscular gluteal injection that's made by Alkermes and marketed in the U.S. by
Cephalon
( CEPH) under the brand name Vivitrol. Cephalon shares were also down a bit on Wednesday, giving up 66 cents, or 0.9%, to $76.26.
Meanwhile,
Genentech
( DNA)
to Roche's $89-a-share bid on Wednesday, saying its special committee felt unanimously that the bid substantially undervalued the company. Genentech said it would, however, consider a higher offer. The company also said it put into place an employee retention program to combat concerns sparked by Roche's advances.
Its shares were up 52 cents, or 0.5%, to $98.37.
In earnings,
Cardiome Pharmaceuticals
(CRME)
gave up 73 cents, or 7.8%, to $8.62. The company reported Tuesday after the bell a loss of 18.1 million Canadian dollars, or 28 Canadian cents in the recent quarter, wider than a loss of 14.6 million Canadian dollars, or 23 Canadian cents per share a year prior. Revenue decreased 82% to 200,000 Canadian dollars.
Cardiome's shares took a beating earlier in the week when the company announced the FDA
more safety information in order to approve its irregular heart rhythm drug Kynapid.
More earnings,
Abraxis BioScience
( ABII) reported adjusted earnings of $3.6 million, or 9 cents a share, from a loss of $5.6 million, or 14 cents a share a year earlier. On a GAAP basis, including litigation and in-process R&D costs, the company reported a loss of $84.1 million, or $2.10 a share, from a loss of 35 cents a share a year prior. Shares were off by $1.98, or 2.6%, at $74.00 on light, but average, volume.
In analyst actions, Jeffries & Co. analyst Peter Bye downgraded
Accuray
(ARAY) - Get Report
to hold from buy, cautioning that economic conditions could stymie growth. Shares fell 28 cents, or 3.2%, to $8.39.
