Why Emergent BioSolutions Stock Is Sinking Today
Shares of Emergent BioSolutions (NYSE: EBS) were sinking 12.8% lower as of 10:53 a.m. ET on Friday. The decline came after J.P. Morgan analyst Jessica Fye downgraded the stock from a neutral rating to an underweight (don't buy) rating. Fye also slashed the 12-month price target for Emergent BioSolutions from $23 to $9.
Wall Street analysts aren't always right. There's even considerable disagreement among analysts about the prospects for Emergent BioSolutions. Five of the six analysts surveyed by Refinitiv in March rate the healthcare stock as a buy or strong buy.
Emergent BioSolutions certainly faces some challenges, though, that could justify investors' caution. The company's total revenue in 2022 plunged 37%. Emergent swung from a profit in 2021 of $230.9 million to a loss of $223.8 million last year.
Source Fool.com
