Why Ctrip, Jabil, and Three Other Stocks Are Trading Down Today

Another stock that has lost ground on Thursday is Horizon Pharma PLC (NASDAQ:HZNP), which is down by around 6%. The main reason behind the drop seemed to be the announcement of a class action lawsuit filed by Glancy Prongay & Murray on behalf of shareholders who purchased shares between March 13, 2014 and February 26, 2016, inclusive. According to a press release, “The complaint alleges that throughout the Class Period, Defendants made false and/or misleading statements and/or failed to disclose that: (1) Horizon’s Prescriptions Made Easy (“PME”) program was designed to artificially inflate the prices of minor differentiation standard retail drugs; (2) sales revenues from drugs sold through Horizon’s PME program were unsustainable at these inflated price levels; and (3) Horizon’s use of its PME program left the Company subject to increased regulatory risks.” On Wednesday, the Law Office of Vincent Wong announced a similar class action lawsuit.

Bad news aside, and even after today’s tumble, shares of Horizon Pharma PLC (NASDAQ:HZNP) are up almost 13% year-to-date, having widely outperformed the main indexes. One of the largest shareholders is Stephen Mandel‘s Lone Pine Capital, which  15.6 million shares of the small cap biopharmaceutical company – as of February 16.

Endo International plc – Ordinary Shares (NASDAQ:ENDP) is one of the top losers in Thursday intraday session. The company’s stock is down by  13.5% on Thursday, taking this week’s loss to more than 31%. The drop comes on the back of the dip of Valeant Pharmaceuticals Intl Inc (NYSE:VRX)’s stock, since both companies have similar business models.

Among the investors followed by us, Jacob Gottlieb’s Visium Asset Management owns 5.17 million shares of Endo International as of the end of 2015.

Finally, there’s Guess?, Inc. (NYSE:GES), whose shares are down by more than 13%, on the back of financial report for the fourth quarter of fiscal 2016. The small-cap retailer reported earnings of $0.57 per share, which fell $0.01 short of expectations, on revenue of $658.3 million, which beat estimates by $0.71 million. For the current quarter, the company forecasts EPS in the range of $0.65 to $0.85, substantially below the Street’s consensus of $1.05. Management explained that they were modeling a $0.11 hit on EPS from currency headwinds.

Taking into account today’s tumble, shares of Guess?, Inc. (NYSE:GES) are down by 2% since the beginning of the year, having performed slightly worse than the wider market. One of the shareholders of Guess is Joel Greenblatt‘s Gotham Asset Management, which disclosed ownership of 1.64 million shares of the company in its last 13F filing. 

Disclosure: Javier Hasse holds no positions in any of the securities mentioned above.