Updated from 2:55 p.m. EDT with new stock prices
Health stocks were flat to slightly higher on Tuesday amid one drug disappointment and multiple analyst actions.
shares plunged 67.6% after the company said it won't move forward with its development of the drug SinuNase, a candidate for chronic sinusitis. Accentia said SinuNase didn't meet goals in a late-stage clinical trial, showing no more effectiveness than a placebo.
The company said it will meet with the FDA to design a pump spray study, exploring an area where it did see effectiveness.
Subsequently, Jefferies & Co. downgraded the stock to underperform from buy and lowered its price target to 55 cents from $7. Rodman & Renshaw downgraded the stock to market perform from market outperform. Shares of Accentia plummeted $2.02 to 97 cents.
Elsewhere, Punk Ziegel initiated coverage on biopharmaceutical company
with a buy rating and a $3.75 price target. Shares jumped 35 cents, or 13.9%, to $2.87.
Xoma is a component of the Nasdaq biotechnology index, which was up 5.85, or 0.8%, at 778.15.
It's also a component of exchange traded fund
HealthShares Emerging Cancer
, which is down 15.5% for the past three months and lost 8 cents, or 0.5%, to $14.86, on Tuesday.
( ALTH) was higher by 37 cents, or 5.9%, to $6.64.
Among other analyst actions, Credit Suisse downgraded
to neutral from outperform, chopping its price target to $38 from $65. Shares declined 39 cents, or 1.1%, to $35.32. Insurance peer
( CVH) gave up 1.9%.
continued to decline after Monday's downgrade from Wachovia Capital Markets analyst Michael Matson, who lowered his rating on the stock to market perform from outperform. Matson believes that the orthopedic-implant maker could see lower profit margins in 2008.
After falling as much as 7% Monday, only to recover and close in the green, Symmetry shares recently were down $2.48, or 13.3%, to $16.13.