Synergy Pharmaceuticals, Inc. – Nasdaq: SGYP
Synergy Pharmaceuticals has announced that it will sell $125 million of common stock. News of the dilution sent shares down over 12% in after-hours trading on heavy volumes. SGYP, traded on the Nasdaq, ended the regular session at $7.07, but in the after-hours market shares went as low as $6.00 before settling at $6.20.
Synergy is a biopharmaceutical company focused on the development and commercialization of novel gastrointestinal therapies. Synergy has pioneered discovery, research and development efforts around analogs of uroguanylin, a naturally occurring human GI peptide, for the treatment of GI diseases and disorders. Synergy intends to use the net proceeds from the offering to fund its commercialization activities related to Trulance. Synergy discovered, is developing and controls 100% worldwide rights to Trulance.
In 2011 Synergy Pharmaceuticals had $47.6 million shares outstanding and that figure has increased every year since then. Currently there are 105.57 million shares outstanding. EPS for SGYP have been negative at an increasing rate since 2011 when the EPS loss was $0.30, and in 2015 SGYP lost $1.11 EPS. Synergy has no reported sales but all three firms that follow Synergy rate SGYP shares as a “Strong Buy”. The consensus price target for SGYP is $10.50.
I have no positions in any stocks mentioned, and no plans to initiate any positions within the next 96 hours. All information, or data, is provided with no guarantees of accuracy.
|Last Price a/o 7:59 PM EST||$ 6.20|
|Market Cap (mlns)||$ 1.27|
|Shares Outstanding (mlns)||179.95|
|Share Float (mlns)||172.08|
|Short Interest Ratio||4.86|