Amarin Corporation plc (ADR) (NASDAQ: AMRN)
Amarin Corporation is starting the day off on a downtrend today. However, the real bulls really aren’t concerned about today’s declines. Here’s why…
Amarin Saw Massive Gains On Friday
To understand what we’re seeing in the market today, it’s important that you know what we saw from AMRN on Friday; which proved to be an incredible day. On Friday, Amarin received a court ruling in their feud with the United States Food and Drug Administration. The court ruling gave the company the ability to inform physicians of off-label benefits of Vascepa; the company’s flagship product that has been shown in studies to offer cardiovascular benefits. As a result of the ruling, Amarin’s stock skyrocketed; ending the day with double digit gains!
What We’re Seeing From AMRN Today
Unfortunately, today is proving to be a different story. Currently (10:44), AMRN is trading at $2.32 per share after a loss of 0.43%. However, Amarin bulls really aren’t concerned about today’s declines. First and foremost, less than half a percentage point loss is not a major issue. However, aside from the size of the loss, investors aren’t concerned because what we’re seeing today is nothing more than normal market movement. The reality is that price movement in the market happens through a series of overreactions. When the positive news came out on Friday, AMRN saw massive gains. So, it’s only natural that we would see slight declines today before the gains continue. Ultimately, today’s minor declines are nothing to worry about.
What We Can Expect To See Moving Forward
Moving forward, I’m expecting to see overwhelmingly positive activity; and it all lies on the court ruling. The reality is that Vascepa has been found to have cardiovascular benefits. While those benefits aren’t approved to be included in labeling, the allowance of the company to inform physicians about these benefits is incredible. Ultimately, this will cause physicians to inform more clients of the benefits of Vascepa; leading to higher sales numbers and long run gains!
What Do You Think?
Where do you think AMRN is headed and why? Let us know in the comments below!