I am new to the stock and am puzzled about the downturn from $70. It seems to me that the negative news on Ambien and Ambien CR would have been a positive for NBIX. It, if approved, could be the replacement for much of Ambien's and Lunesta's business, because of the non addictive properties. The other positive is that they have PFE's marketing muscle. Can't figure it out.
NBIX basically following the trend of the entire biotech sector for the week. If you overlay NBIX with the NASDAQ Biotech Index (^NBI) they track exactly for the entire week. Just means more upside on approval.
We're all trying to figure it out. --Could be negativity toward the whole sleep drug sector. --Could be correction of the price which got ahead of itself. --Could be fear. --Could be shaking out of the weak hands, before a big announcement. --Could be hedging by shareholders/institution locking in large gains in case bad news is announced.
Obviously selling interest outweighing buying interest right now so the stock price keeps slipping. Will be interesting to see if support comes in at these prices over the next few trading sessions.