Why Are Amarin Shares Plunging Today?
Portfolio Pulse from Vandana Singh
Amarin Corporation announced a restructuring plan to reduce operating costs by $40 million annually, focusing on maintaining Vascepa as a cost-effective option, redesigning its commercial infrastructure in Europe, and exploring additional partnerships. The company also reported preliminary Q2 earnings with product revenue of $65 million, below the consensus of $80.36 million. Amarin appointed Patrick Holt as President and CFO. The company's shares are down 21.7% in premarket trading.
July 19, 2023 | 3:39 pm
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Amarin's restructuring plan and lower-than-expected Q2 earnings have led to a 21.7% drop in its share price. The appointment of a new President and CFO may bring some changes in the company's strategy.
The restructuring plan, which includes cost-cutting measures and strategic changes, indicates that the company is facing financial challenges. The lower-than-expected Q2 earnings further confirm this. These factors have negatively impacted investor sentiment, leading to a drop in the share price. The appointment of a new President and CFO may bring some changes in the company's strategy, but it's too early to predict their impact.
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