MAJOR PREMARKET ALERT: Ariad Pharmaceuticals (ARIA)

Posted in General 
July 31st, 2009

Ariad Pharmaceuticals Inc. (Nasdaq: ARIA) shares are down more than 20 percent this morning to $1.83 on more than 2,00 shares traded as of 8 a.m.; it was one of hte most active issues after-hours Thursday. The company reported a loss of 24 cents a share, slightly less than analyst expectations. But the company ended the quarter with only about $39 million in cash and equivalents. The stock was downgraded to Sell from Neutral at Merriman following results, partly because the company is “quite concerned” about its cash resources.

See BioHealthInvestor’s analysis earlier this week that warned about the cash situation, and a possible secondary offering.

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