Stock falls by 36% as company reports loss and misses revenue projections

  • BioXcel Therapeutics shares sink after weak 3Q results
  • Stock falls by 36% in premarket trading
  • Company reports a loss of $50.5 million
  • Revenue of $341,000 misses analyst projections
  • BioXcel Therapeutics to conduct Phase 3 trial of Igalmi in at-home setting

Shares of BioXcel Therapeutics slumped after the company recorded weaker third-quarter results than analysts had expected and said it would follow regulators’ recommendation for a trial of its bipolar and schizophrenia treatment. The stock fell by 36% to $3.52 in premarket trading. The biopharmaceutical company posted a loss of $50.5 million, compared with $41.8 million in the same quarter a year ago. Revenue of $341,000 missed analyst projections for $600,000. BioXcel Therapeutics also announced that it is aligned with the FDA’s recommendation for the Phase 3 trial of Igalmi to be conducted in the at-home setting.

Public Companies: BioXcel Therapeutics (N/A)
Private Companies:
Key People:

Factuality Level: 8
Justification: The article provides specific information about BioXcel Therapeutics’ weaker third-quarter results, the stock’s decline, and the company’s alignment with the FDA’s recommendation for a Phase 3 trial. The information is based on facts and includes data from analysts and the company itself.

Noise Level: 3
Justification: The article provides relevant information about BioXcel Therapeutics’ weaker third-quarter results and their decision to follow regulators’ recommendation for a trial of their treatment. It includes details about the stock’s decline and the company’s financial performance. However, the article lacks in-depth analysis, scientific rigor, and actionable insights. It also does not explore the consequences of the decisions on those who bear the risks.

Financial Relevance: Yes
Financial Markets Impacted: Shares of BioXcel Therapeutics

Presence of Extreme Event: No
Nature of Extreme Event: No
Impact Rating of the Extreme Event: No
Justification: The article pertains to financial topics as it discusses the weaker third-quarter results of BioXcel Therapeutics and the impact on its stock price. However, there is no mention of an extreme event.

Reported publicly: www.marketwatch.com