Calithera Biosciences Inc (NASDAQ:CALA) Stock falls Again: Slumps 58% in a Week

Precision oncology biopharmaceutical firm Calithera Biosciences Inc (NASDAQ:CALA) has seen its stock take a beating in the markets in the past few days and the trend remained the same yesterday as the stock tanked by another 7%.

Market Stats

On Tuesday, CALA stock fell 6.62% at $0.82 with more than 6.86 million shares, compared to its average volume of 1.6 million shares. The stock has moved within a range of $0.8100 – 0.8800 after opening the trade at $0.88.

The FDA News

However, that is only one part of it. In this regard, it is also necessary to remember that over the course of the past week the stock has tanked by as much as 58%. Yesterday, the Calithera stock declined after the company announced its financial results for the third fiscal quarter that had ended on September 30, 2021.

In this situation, it might be a good idea to take a closer look at the company’s financial performance. At the end of the third quarter, Calithera had investments, cash and cash equivalents to the tune of as much as $84.8 million.

The company also noted that its cash balance at the end of the quarter was enough for meeting its requirements up until 2023. On the other hand, the revenues generated by Calithera in the quarter came in at $6.8 million and in this context it should be noted that the revenues also include the milestone payments received by the company for the Incyte Collaboration Agreement.

Key Quote

“The last month has been one of significant change for Calithera, following the acquisition of two clinical-stage investigational therapies, sapanisertib and mivavotinib, and the presentation of interim data from our cystic fibrosis program for CB-280 that supports our approach to the treatment of CF via this mechanism,” said Susan Molineaux, PhD, president and chief executive officer of Calithera. “During this quarter, we also announced the disappointing news of the discontinuation of the telaglenastat program based on an interim analysis of the KEAPSAKE trial. Finally, we announced the promotion of Emil Kuriakose to chief medical officer and the strengthening of our board of directors with the addition of Calithera’s former chief medical officer, Keith Orford.

Traders Corner

CALA stock is above below the 50-Day and 200-Day Moving averages of $2.03 and $2.29 respectively. Moreover, the stock is trading below the 20-Day moving average of $1.68. The stock is down 60% in the past month.