Express Scripts Holdings (NASDAQ: ESRX)
Express Scripts is having an incredibly rough day in the market today. When the opening bell rang, the stock made a mad dash for the red. Since then, we’ve seen further declines. Below, we’ll talk about what we’re seeing from the stock, why, and what we’ll be watching for with regard to ESRX ahead.
What We’re Seeing From ESRX
As mentioned above, Express Scripts isn’t having the best of days in today’s trading session. Unfortunately, when the opening bell rang, the stock started running deeper and deeper into the losses. Since then, we’ve only seen more of the same. At the moment (12:30), ESRX is trading at $69.99 per share after a loss of $3.18 per share (4.35%) thus far today.
Why The Stock Is Falling
As usual, as soon as we were notified by one of our signal partners (Trade Ideas & Benzinga Pro) that ESRX was making a run downward, we started digging to see what was happening. When it comes to this run, it wasn’t hard to find the cause. The declines that we’re seeing are the result of statements made by the CEO at the company.
In statements made earlier today, the CEO at Express Scripts said that he is expecting price scrutiny in the pharmaceutical industry to continue. Unfortunately, that’s bad news for ESRX and investors. In fact, many have blamed the company for much of the price hikes that we’ve seen in the pharmaceutical industry for some time.
What We’ll Be Watching For Ahead
Moving forward, the CNA Finance team will be keeping a close eye on ESRX. In particular, we’re interested in seeing if the company starts to work to reduce drug prices? Of course this would cost investors, but in the long run, it could keep Express Scripts out of bad headlines. Nonetheless, we’ll keep an eye on the story and bring you the news as it breaks!
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