2 Stocks Fall Tuesday
- By Omar Venerio
Shares of Peregrine Pharmaceuticals Inc. (PPHM) declined nearly 20% on the back of the company posting its financial results for the second quarter of fiscal 2018. For the quarter ended Oct. 31, the company reported a 45.3% decline in revenue to $12.78 million and registered a loss of 31 cents per share. Earnings results fell 19 cents short of analysts" estimates and revenue missed expectations by $0.76 million.
Warning! GuruFocus has detected 4 Warning Signs with PPHM. Click here to check it out.
The intrinsic value of PPHM
Roger J. Lias, president of Peregrine"s contract development and manufacturing business, Avid Bioservices, commented on some of the company"s initiatives.
"Today, we are pleased to report that the company has made great progress in its transition from an R&D focused business to a dedicated contract development and manufacturing organization (CDMO)," he said. "In late November, the company came to an agreement with an investor group, appointing a highly qualified new board of directors consisting of three new independent members from this investor group and one mutually designated independent member in addition to myself and the two independent members previously appointed. We have now added six highly qualified and independent board members since October".
He also said they will hire experienced CDMO professionals to focus on revenue growth and expanding Avid"s client base.
"Lastly, we are in continued discussions with third parties regarding the divestiture of the company"s remaining R&D assets and we will keep you apprised on our progress as we advance the process," he said.
The company reiterated its manufacturing revenue guidance for full fiscal 2018 in the range of $50 million to $55 million.
Shares of Casey"s General Stores Inc. (CASY) traded lower on the back of the company reporting its financial results for the second quarter of 2018, which ended Oct. 31. The company posted EPS of $1.28, down from $1.44 in the year-ago quarter. Earnings missed expectations by 12 cents. Revenue of $2.15 billion missed estimates by $30 million, but increased from the prior-year quarter.
The company"s same-store fuel sales increased 1.9% during the quarter, while retail same-store sales rose 2.5% year over year. The company projects same-store fuel sales will grow 1% to 2%, while its grocery and merchandise same-store sales are slated to grow 2% to 4%.
Disclosure : The author holds no positions in any stocks mentioned.
This article first appeared on GuruFocus.
Warning! GuruFocus has detected 4 Warning Signs with PPHM. Click here to check it out.
The intrinsic value of PPHM
