Just one week after completing the Acorda Therapeutics stock split, the stock market soared 44%.
Acorda Therepeutics Inc is an American company in the biotechnology and pharmaceutical sector, concerning the development of therapies to treat and improve the lives of people with neurological issues or disorders.
In recent years, this company has seen many ups and downs in the stock market. In 2018 it suffered sharp falls in the markets, causing the company to eventually split its stock at a rate of 6 to 1. This decision was taken after an extraordinary shareholders' meeting last July, due to the strong downward pressures which were bearing down on the company, thus requiring them to sustain a minimum price of 1 USD per share to continue trading in the Nasdaq Global Select Market.
During yesterday's trading day, Acorda experienced a strong rise of 44.34%, closing at $6.12 per share. These strong increases can be explained by several different announcements, among which Acorda Therapeutics agreed to sell its manufacturing and operations of its INBRIJA product for $80 million in cash to Catalent. Furthermore, this company has also announced a corporate restructuring and cost reduction measures.
Technically speaking, we can see that yesterday’s strong movement has produced a wide upward gap which contributed to daily highs, which approached its 200-session moving average in the red, leading the price to again trade at last October’s levels.
The downtrend is still in force, although in recent months, it has gradually transformed into a lateral trend, which could lead to changes in the trend in the future. It is important to watch its behaviour in the future, since a break of the 200-session moving average that can be sustained over time, and could lead to a change from bearish to bullish trend in the long term.
Source: Admiral Markets MetaTrader 5. Acorda Therapeutics daily chart. Data range: from September 16, 2019 to January 14, 2021. Prepared on January 14, 2021 at 12:00 CET. Keep in mind that past returns do not guarantee future returns.
Over the past five years, Acorda’s performance has been:
2020: -66.17%
2019: -86.90%
2018: -27.36%
2017: 14.09%
2016: -56.05%
With an Admiral Markets Trade.MT5 account, you can trade Contracts for Difference (CFDs) on Acorda and over 3,000 stocks! CFDs allow traders to try to profit from both bull and bear markets, as well as profit from the use of leverage. Click on the following banner to open an account today:
INFORMATION ON ANALYTICAL MATERIALS:
The data provided provides additional information on all analyzes, estimates, forecasts, forecasts, market reviews, weekly outlooks or other evaluations or similar information (hereinafter "Analysis") published on the Admiral Markets website. Before making any investment decisions, pay close attention to the following:
- This is a marketing communication. The content is posted for informational purposes only and should not be construed as investment advice or recommendation. It has not been prepared in accordance with legal requirements designed to promote the independence of investment research, and is not subject to any prohibition on pre-dissemination of investment research.
- Each investment decision is made by each client alone, while Admiral Markets UK Ltd (Admiral Markets) will not be liable for any loss or damage arising from such a decision, whether based on content or not.
- In order to protect the interests of our clients and the objectivity of the Analysis, Admiral Markets has established relevant internal procedures for the prevention and management of conflicts of interest.
- The analysis is prepared by an independent analyst, Carolina Caro, SEO implementer (hereinafter "Author") based on personal estimates.
- While all reasonable efforts are made to ensure that all sources of content are reliable and that all information is presented, as much as possible, in an understandable, timely, accurate, and complete manner, Admiral Markets does not guarantee accuracy. or integrity of any information contained in the Analysis.
- Any past performance or modelling of the financial instruments indicated in the content should not be construed as an express or implied promise, guarantee, or implication of Admiral Markets for any future performance. The value of the financial instrument may rise and fall, and the preservation of the asset's value is not guaranteed.
7. Leveraged products (including contracts for difference) are speculative in nature and may generate profit or loss. Before you start trading, make sure you fully understand the risks.
