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Amylin Falls 10% on FDA Study Requests

Dec 24

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12/24/2009 12:12 AM  RssIcon

Amylin Falls 10% on FDA Study Requests

Amylin Pharmaceuticals Inc (AMLN) fell 10% on Wednesday as the Food and Drug Administration requested additional test on Amylin’s diabetes drug Byetta. The FDA seeks to make sure the drug benefits are more profound than the possibility of inflammation in the pancreas. The company responded with a letter stating they have conducted such studies previously and are currently studying Byetta and gall bladder gallstones. This is a post-marketing request by the FDA.

Options Volume

The stock of Amylin fell from $15.45 a share to close at $13.97. The stock had climbed nicely over the past month from a 6 month low of $11.04 to a recent 6 month high of $15.45 yesterday. Investors grabbed Put options on the stock during the trading day with January Puts at strike prices of 10, 12.50 and 15 being strongly traded. April 2010 Put options were also very popular at the same strike prices.

Amylin Trade

Earnings have been improving recently and the health care bill in the senate being complete creates some footing for additional growth. This currently blip in the stock price could be a nice buying opportunity as long as the FDA request is resolved without issue.

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2 comment(s) so far...


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Re: Amylin Falls 10% on FDA Study Requests

Just another example how important it is to have an ear at the pulse of time (or of money).

By Musikinstrumente on   1/29/2010 8:46 AM
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Re: Amylin Falls 10% on FDA Study Requests

Amylin has been pretty stable in the recent years, so I assume this was just a small stumble that they can recover from quickly.

By Travel Nurse Jobs on   7/22/2010 8:52 AM

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