Insys Therapeutics (OTCPK:INSYQ) experienced a whirlwind in the past months, from witnessing a 48% drop in Q4 revenue and paying a $225 million settlement that sent INSY stock up 12% to jumping 240% after receiving "First Day" motion after its Chapter 11 filing. Today, Insys is back in the news after announcing positive FDA news. And yet, INSYQ stock is tumbling.
Here's what's happening.
Insys Back in the News
Based in Phoenix, Arizona, Insys Therapeutics is a pharmaceutical company that uses proprietary technology to create various innovative products. INSYQ has been in the news for the past few months, and July is proving to be no different.
On July 2, news surfaced that five states have paused their lawsuits against Insys Therapeutics; twenty-four hours later, Insys said the FDA has accepted its New Drug Application for its Naloxone Nasal Spray. Of course, this is good news for the company, as it shows its products are meeting high standards, but it's also good for society because this spray will be used for the emergency treatment of known or suspected opioid overdose—and that's something we need to be focusing on. In 2017, there were 70,237 drug overdose deaths in the United States.
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“The FDA’s acceptance of the NDA for INSYS’ proprietary formulation of a naloxone nasal spray is an important milestone in battling the U.S. opioid epidemic,” said Dr. Venkat Goskonda, the company's chief scientific officer.
Still, the news didn't do anything for INSYQ stock. Or if it did, it did all the wrong things.
According to Yahoo Finance, as of 12:52 PM EDT, INSYQ stock is trading at $0.2594; this puts INSYQ down 7.33%.
Takeaway
What do you think about all of the recent Insys news? Should the states have halted the lawsuits? Is it a game changer now that the FDA has accepted its New Drug Application?
Let us know your thoughts in the comments below.
Featured Image: PixaBay
