Shares of Synthetic Biologics, Inc. (SYN), a developer of therapeutics to treat gastrointestinal diseases in the U.S, were down by 3.80% in the pre-market as of this writing.No one seems to know the reason behind this fall. Let’s try to figure out this bearish sentiment.
The SYN stock happened to be green at one time earlier in the pre-market but then again suffered a drop. There is no company-specific news, no earnings report so far, no analyst downgrades or price target cuts that might explain the bearish sentiment for SYN stock.
The last time Synthetic Biologics made an announcement on Dec. 22, 2020, in which the company reported that the Institutional Review Board (IRB) at Washington University School of Medicine in St. Louis (Washington University) has allowed Synthetic Biologics to start Phase 1b/2a clinical trial of SYN-004 (ribaxamase) in allogeneic hematopoietic cell transplant (HCT) recipients. The purpose of the clinical trial of SYN-004 was to check its safety, tolerability, and potential absorption in participants who receive an IV beta-lactam antibiotic to treat fever.
SYN stock reported its third-quarter earnings in November 2020 in which the company recorded $6.0 million cash and cash equivalents. Administrative expenses were recorded $1.2 million with a 9% increase over the year. Research and development expenses were recorded $0.9 million with 78% decrease over the year due to postponement of Phase 1b/2a clinical trial of SYN-004 (ribaxamase) in allogeneic HCT recipients as focused was moved to COVID-19 pandemic.
Synthetic Biologics stock grew 38.60%inthe past five years and currently, it is not getting well treatment by analysts as they are expecting no growth of Synthetic Biologics stock right at the moment.SYN Stock has a 69.53 million market cap and has a 19.12 million average volume. The weekly and monthly volatility of the stock is 7.66% and 12.50% respectively.
The penny stock is suffering bearish sentiment in the pre-market for an unknown reason. Analysts are not optimistic for the SYN stock to grow so far but we can’t deny the fact that the stock market is unpredictable. The company will report its fourth-quarter financial results on March 4, 2021, which will decide the fate of the stock.