Why Neurocrine Biosciences Inc. (NBIX) Crashed Last Week

We recently compiled a list of the These 10 Firms Were Last Week’s Worst Performers. In this article, we are going to take a look at where Neurocrine Biosciences Inc. (NASDAQ:NBIX) stands against the other stocks.

Volatile trading persisted on the stock market last week as investors scrambled to react to a flurry of positive and negative news that sparked both buying and selling positions.

On Friday alone, all Wall Street main indices fell into the red territory, with trading dampened mainly by tariff threats and expectations of a higher inflation rate in the US.

Ten companies under mixed sectors also mirrored the decline, with each booking double-digit slumps. This article details which 10 companies suffered the most last week and what specifically caused investor pessimism.

To come up with last week’s worst performers, we considered only the stocks with at least $2 billion in market capitalization and $5 million in daily trading volume.

A healthcare professional discussing treatment options for a patient with a neurological disorder.

Neurocrine Biosciences Inc. (NASDAQ:NBIX)

Shares of Neurocrine Biosciences Inc. plummeted 19 percent week-on-week to close Friday’s trading at $122.62 each as investors digested its lackluster fourth-quarter earnings performance and conservative outlook guidance for 2025.

In its earnings release last week, NBIX said net income in the last quarter fell by 30 percent to $103.1 million from the $147.7 million reported in the same period last year, despite revenues increasing by 21.8 percent to $627.7 million from $515.2 million.

Revenues for the full year increased by 24.8 percent to $2.355 billion from $1.887 billion, pushing net income higher by 36.68 percent at $341.3 million versus the $249.7 million registered in 2023.

For this year, NBIX merely reported a conservative outlook, saying full-year net product sales are projected to settle between $2.5 billion and $2.6 billion.

“With a rapidly advancing and growing pipeline and a strong financial profile, we are well positioned to build a leading neuroscience company,” said NBIX CEO Kyle Gano.

Overall NBIX ranks 6th on our list of last week’s worst performers. While we acknowledge the potential of NBIX as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter timeframe. If you are looking for an AI stock that is as promising as NBIX but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.

READ NEXT: 20 Best AI Stocks To Buy Now and Complete List of 59 AI Companies Under $2 Billion in Market Cap.

Disclosure: None. This article is originally published at Insider Monkey.