On Monday, the stock of Avanor Pharmaceuticals, a drug company that makes a drug for epilepsy, lost its value by more than $30 per share.
In the days after the stock fell, investors took note of Ava’s poor performance, which included a poor quarterly earnings report and an acquisition of the company’s medical device business.
Since then, Ava shares have rebounded, trading at more than 20 times earnings before interest, taxes, depreciation and amortization (EBITDA).
It’s not clear whether the stock will recover, however, given the company has yet to reach a deal with Pfizer for a deal to replace the EpiPen, the company that the drug company used to make EpiPens.
It’s possible that Ava could have a rebound, but we’re still not sold on the prospects.
Ava has struggled in recent quarters, as the company struggled to find ways to make money from the drug.
Investors have also been skeptical of Avamis pricing, which has been on a slide.
In recent months, Avamix, another drug that was developed with Avanors technology, has been priced out of the market.
Avanivox, a generic of Avantia, was supposed to be the next step in the Avanairpharma company’s development, but was ultimately sold to AstraZeneca for $4.5 billion.
Avamax’s share price has fallen a bit since then, as Avanis shares have fallen.
The company has also struggled to get its EpiPad line, which is designed to treat some people with severe forms of epilepsy, on the shelves, as it has been stuck in a long-term supply chain, according to Bloomberg.
While Avanirs pricing was disappointing, the drug has not been the only bad news for Avanaris stock.
Last month, Avanavis CEO J. Paul White announced that the company had made a “mistake” in its acquisition of EpiKart, which was a joint venture between Epi and the U.S. Department of Veterans Affairs.
While Epi has a long history of using its brand as a marketing tool, the acquisition of a company with a product with limited market appeal did not sit well with Avanos investors.
In a letter sent to investors, White said the company made a mistake in purchasing Epiks brand because it “had the potential to create a stronger partnership with Epi.”
We do not believe that Epi is at a level that is aligned with the strategic objectives of Avanos, including providing a broad and innovative product portfolio that can help meet the needs of our patients and the healthcare community,” White wrote.
It remains to be seen how Avanos’ shares will recover.
Avanos shares fell from $11 to $8 on Tuesday.
The stock is up $13.50 per share in the past 24 hours.
This story has been updated to include Avans pricing information.