5 Companies That Destroyed Shareholders Last Week

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Markets recovered to just below all-time highs over the course of the past week after the Federal Reserve announced that it would not be hiking rates. There are a fair number of questions for what the markets hold going forward after this decision. However, what is for sure is that most companies took a nice bounce after the Fed’s announcement, although there were a few that held back this rally.

24/7 Wall Street has picked out a few companies posting the largest losses for the week. We have included a note on why each stock has lagged, as well as a recent trading history, consensus analyst price target and a 52-week trading range.

Enphase Energy

Despite having a relatively positive week, Enphase Energy Inc. (NASDAQ: ENPH) saw its stock drop sharply on Friday. The company announced a secondary offering for 13 million shares of common stock at the price of $1.20 per share, ultimately resulting the shares dropping. There is an overallotment option for an additional 1.95 million shares. At this price, the entire offering is valued up to $17.94 million. The company has a market cap of roughly $56 million.

Shares of Enphase closed the week down 16.7% at $1.20. The stock has a consensus price target of $2.43 and a 52-week range of $1.16 to $5.37.

Mast Therapeutics

After it reported the top-line results from its late-stage sickle cell disease clinical trial this week, Mast Therapeutics Inc. (NYSEMKT: MSTX) shares practically fell off a cliff. The Phase 3 study of vepoloxamer (known as MST-188) for the treatment of individuals with sickle cell disease experiencing vaso-occlusive crisis (VOC) did not meet its primary endpoint. There were no statistically significant differences between treatment groups in the intent-to-treat population across the two secondary efficacy endpoints, rate of re-hospitalization for VOC and the occurrence of acute chest syndrome.

As we have said before, clinical trials or FDA decisions make or break a company. In this case, a late-stage failure resulted in the stock dropping by nearly 80%. Also check out other key clinical trial results and FDA decisions coming in the next two months.

The shares ended the week down 79% to $0.13, with a consensus price target of $2.70 and a 52-week range of $0.10 to $0.71.

Eleven Biotherapeutics

Over the course of the week, Eleven Biotherapeutics Inc. (NASDAQ: EBIO) watched its shares slide, despite a solid uptick in the middle of the week. The firm announced that it would be acquiring Viventia and shares rose by around 20%, but the company gave it back on continued negative investor sentiment. This stock has been sliding for the better part of a month now after the stock hit new highs in August.

Eleven Bio shares had a rocky road as well, with the stock down 16% for the week. Shares were last seen at $3.10, with a consensus price target of $12.00 and a 52-week range of $0.25 to $5.97.

Mirna Therapeutics

On Wednesday, Mirna Therapeutics Inc. (NASDAQ: MIRN) shares got crushed after the company halted an early-phase trial. The ongoing Phase 1 study of MRX34 as a microRNA therapy for multiple cancers is being closed. Effectively, this pushed shares to hit an all-time low, although they have only been trading just under a year. Essentially, Mirna voluntarily halted enrollment and dosing in the clinical study following multiple immune-related severe adverse events observed in patients dosed with MRX34 over the course of the trial.

At the same time, the company also announced that it will not be initiating a translational medicine study of MRX34 in melanoma patients, planned to begin later this year. Mirna will be further analyzing its full preclinical and clinical data set and will discuss with its advisors, as well as the FDA, possible future development of MRX34 and will provide updates when appropriate.

Shares most recently closed at $2.02. The consensus price target is $3.70, and the 52-week range is $1.82 to $11.01. The stock was down 18.5% from the high on the week.

Ascena Retail

After the markets closed on Monday, Ascena Retail Group Inc. (NASDAQ: ASNA) reported its fiscal fourth-quarter financial results. This has been a tough fiscal year for Ascena, with significant store traffic headwinds and a competitive selling environment. For the quarter, the company said that it had $0.08 in earnings per share (EPS) on $1.81 billion in revenue, versus consensus estimates from Thomson Reuters that called for $0.16 in EPS on revenue on $1.77 billion. In the same period of last year, Ascena posted EPS of $0.06 and $1.17 billion in revenue.

In terms of the outlook for the coming fiscal year, Ascena expects to have EPS in the range of $0.60 to $0.65 and total company sales unchanged from this year, while comparable sales are expected to slip 1% to 2%. Consensus estimates call for $0.83 in EPS on $7.17 billion in revenue for fiscal 2017.

Last week, the stock was down 26%. Shares closed at $5.88 on Friday, with a consensus price target of $8.78 and a 52-week range of $5.33 to $14.76.