3 Stocks That Have Seen Better Days

Steadymed stock is sinking after the FDA rejected a new drug application

Katie Coburn
Aug 31, 2017 at 2:22 PM
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U.S. stocks are trading higher this afternoon, getting a lift from the latest economic data. Three stocks in the spotlight today that have seen better days, however, are bank stock Wells Fargo & Co (NYSE:WFC), footwear and apparel retailer Genesco Inc. (NYSE:GCO), and pharmaceutical company Steadymed Ltd (NASDAQ:STDY). Here's a quick look at what's moving shares of WFC, GCO, and STDY.

Wells Fargo Finds More Phony Accounts

Wells Fargo stock is down 0.8% to trade at $50.95, after the company found 70% more unauthorized accounts than previously thought. The findings come almost a year after the bank fired thousands of employees over the fake account scandal

Now down 7.5% year-to-date, WFC is pacing for its lowest close since November, and is poised to close below its 20-month moving average for only the second time in 2017. Still, roughly a third of the 22 analysts following the stock rate it a "buy" or better, leaving room for bearish brokerage notes, should the shares extend their decline. 

Jefferies Cuts GCO's Price Target Nearly in Half After Earnings Miss

Shares of Genesco are down 16.1% to trade at $21.40, and earlier hit a seven-year low of $21.15, after the company reported lower-than-expected second-quarter earnings and missed revenue forecasts. As a result, Jefferies cut its price target on GCO nearly in half, to $27 from $48.

Genesco stock is today's worst percentage loser on the New York Stock Exchange, and is down almost 65% year-to-date. Shorts are likely cheering today's decline, as short interest represents roughly 9% of GCO's total available float, or six times the stock's average daily trading volume. Today, however, Genesco stock is on the short-sale restricted (SSR) list.

STDY Stock Sinks After FDA Letter

Steadymed stock is down a whopping 34% to trade at $3.90, after the U.S. Food and Drug Administration (FDA) turned down the company's new drug application for Trevyent, which is designed to treat a rare lung disease. The FDA is asking Steadymed to provide more information on the drug.

Today's plunge has the stock on pace for its worst-ever one-day decline, and ranks STDY as the biggest percentage loser on the Nasdaq. STDY has lost more than half of its value since hitting an annual high of $9.70 on April 3, and could close the month beneath its 20-month moving average for the first time since January. Some bears jumped ship a little too early, as short interest on STDY has decreased by 18% over the past two weeks. Short interest, however, still represents more than nine times the stock's average daily trading volume.


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