Eagle Pharmaceuticals (EGRX) Marked As A Dead Cat Bounce Stock
Trade-Ideas LLC identified
(
) as a "dead cat bounce" (down big yesterday but up big today) candidate. In addition to specific proprietary factors, Trade-Ideas identified Eagle Pharmaceuticals as such a stock due to the following factors:
- EGRX has an average dollar-volume (as measured by average daily share volume multiplied by share price) of $13.2 million.
- EGRX has traded 167,506 shares today.
- EGRX is up 3% today.
- EGRX was down 8.4% yesterday.
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More details on EGRX:
Eagle Pharmaceuticals, Inc., a specialty pharmaceutical company, focuses on developing and commercializing injectable products primarily in the critical care and oncology areas in the United States. Currently there are 4 analysts that rate Eagle Pharmaceuticals a buy, no analysts rate it a sell, and none rate it a hold.
The average volume for Eagle Pharmaceuticals has been 429,000 shares per day over the past 30 days. Eagle has a market cap of $657.2 million and is part of the health care sector and drugs industry. Shares are down 56.6% year-to-date as of the close of trading on Wednesday.
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Analysis:
rates Eagle Pharmaceuticals as a
. Among the areas we feel are negative, one of the most important has been generally deteriorating net income.
Highlights from the ratings report include:
- The company, on the basis of change in net income from the same quarter one year ago, has significantly underperformed when compared to that of the S&P 500 and the Biotechnology industry. The net income has significantly decreased by 104.5% when compared to the same quarter one year ago, falling from $19.70 million to -$0.90 million.
- The revenue fell significantly faster than the industry average of 17.2%. Since the same quarter one year prior, revenues fell by 18.5%. Weakness in the company's revenue seems to have hurt the bottom line, decreasing earnings per share.
- EAGLE PHARMACEUTICALS INC has experienced a steep decline in earnings per share in the most recent quarter in comparison to its performance from the same quarter a year ago. This year, the market expects an improvement in earnings ($4.32 versus $0.20).
- The gross profit margin for EAGLE PHARMACEUTICALS INC is rather high; currently it is at 50.70%. Despite the high profit margin, it has decreased significantly from the same period last year. Despite the mixed results of the gross profit margin, EGRX's net profit margin of -3.02% significantly underperformed when compared to the industry average.
- Compared to other companies in the Biotechnology industry and the overall market, EAGLE PHARMACEUTICALS INC's return on equity significantly trails that of both the industry average and the S&P 500.
- You can view the full Eagle Pharmaceuticals Ratings Report.
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