Why Reata Pharmaceuticals Stock Is Diving Today Despite Q2 Beats

Reata Pharmaceuticals (NASDAQ: RETA) was having a terrible Tuesday, with its stock trading down by nearly 17% in late afternoon action. It scored earnings beats in its second quarter, but there was one notable cause for concern.

After market hours on Monday, Reata published its second-quarter earnings. Revenue for the developer of drugs for rare diseases fell by 28% on a year-over-year basis to $2.22 million. Net loss for the period was $72.7 million, or $2 per share, a bit deeper than the year-ago deficit of $67.6 million.

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Source Fool.com