Why Bluebird Bio Stock Is Sinking This Week
Shares of Bluebird Bio (NASDAQ: BLUE) were sinking 10.4% this week as of the market close on Thursday, according to data from S&P Global Market Intelligence. The decline came after the company announced on March 4, 2022, that Gina Consylman was stepping down as CFO. Bluebird also revealed in its 10-K filing on the same day that "there is substantial doubt regarding our ability to continue as a going concern."
It's not unusual for a stock to drop when a top executive, especially the CEO or CFO, unexpectedly leaves. However, Bluebird's warning about its ability to remain in business certainly rattled investors even more.
Rumors of Bluebird's impending death might be exaggerated, though. CEO Andrew Obenshain even said in the company's fourth-quarter update, "2022 is set up to be a landmark year." He mentioned pending approval decisions from the U.S. Food and Drug Administration (FDA) for Bluebird's gene therapies in beta-thalassemia and cerebral adrenoleukodystrophy (CALD). Obenshain also noted that the company plans to file for FDA approval of lovo-cel in treating sickle cell disease in early 2023.
Source Fool.com
