Here's Why Shire PLC Stock Fell 10% in August
Shares of Shire PLC (NASDAQ: SHPG), a biopharmaceutical company that focuses on treatments for rare diseases, fell 9.94% in August, according to data from S&P Global Market Intelligence. Slipping sales figures for both a recently acquired hemophilia therapy and an aging attention deficit drug overshadowed an otherwise encouraging earnings report.
Last June, Shire completed a $32 billion merger with Baxalta that appears to be firing on all cylinders except one: hemophilia. On a pro forma basis, combined product sales rose 7%, but inhibitor therapy sales to hemophiliacs fell 7% compared to the previous year period. According to Shire, sales of its drug FEIBA (an acronym for factor eight inhibitor bypassing activity) should make up about 5% of the company's total revenue this year. FEIBA, which is prescribed to patients who have developed inhibitors that reduce the effectiveness of other clotting factor replacement therapies, earned its first approval 31 years ago.
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Source: Fool.com
