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TherapeuticsMD Inc. (NASDAQ:TXMD) Stock Continues to Trade Lower: Down 15% in a Week

Ash K , , , ,

TherapeuticsMD Inc. (NASDAQ:TXMD) fell 8%. The company released its Q3 2021 financial results and announced a substantial cost savings initiative that will reduce annual costs by $40 million in 2022.

Market Stats

On Thursday, TXMD stock slid 8% at $0.66 with more than 12.22 million shares, compared to its average volume of 4.58 million shares. The stock has moved within a range of $0.6312 – 0.7110 after opening the trade at $0.7075.

Quarter Earnings

However, these savings will not include savings from associated costs with vitaCare divesture estimated to be around $20 million per year.The company’s president Hugh O’Dowd said that they had made considerable changes to the company’s business strategy that will help the company attain its objective of EBITDA breakeven in 2H 2022. O’Dowd said that the measures put in place are already giving results, as shown with Q3 results.

In Q3 2021, ANNOVERA net sales were $11.8 million relative to $6.4 million a year ago. The company reported 8,350 ANNOVERA prescriptions dispensed, representing a 62.7% YY increase. IMVEXXY net product revenue was $8 million, with around 113,000 IMVEXXY prescriptions dispensed in Q3. BIJUVA net sales were $3.3 million, with the net revenue including $0.7 million in export sales via the supply and licensing deal with Theramex HQ UK Limited. So in the coming weeks, TXMD is worth watching.

Key Quote

“We have made significant changes to our business strategy, which we believe will help us achieve our goal of EBITDA breakeven in the second half of 2022. Specifically, we put a cost savings plan in place and we have implemented a more concerted focus on healthcare professionals. These refinements are already yielding results, as evidenced by the steady progress made during the third quarter, notably the strong year-over-year growth in ANNOVERA prescriptions,” said Hugh O’Dowd, President of TherapeuticsMD.

Traders Corner

TXMD stock is trading below the 200-Day and 50-Day Moving averages of $0.74 and $0.74 respectively. Moreover, the stock is trading below the 20-Day moving average of $1.13. The stock is down 27% in the past 3- month.