CytoDyn (CYDY) Stock Moves Up: Will The Bounce Back Continue?
The CytoDyn Inc (OTCMKTS:CYDY) stock has seen considerable action this week owing to the events of the week so far but on Thursday, it managed to recover a bit.
The company got a major setback earlier on this week after the United States Food and Drug Administration dished out a public rebuke to CytoDyn and alleged that it had cherry picked data in order to show that its product leronlimab was effective treatment for COVID 19 patients. Following that, the stock had crashed and had recorded declines of as much as 30%. However, on Thursday, the stock managed to mount a recover and went up by 13%.
In this regard, it is necessary to note that CytoDyn also made a key appointment this week and that might have resulted in restoring some degree of confidence among investors.
The company appointed Antonio Migliarese as the new Treasurer and Chief Financial Officer. In this regard, it should be noted that Migliarese had been serving as CytoDyn’s Vice President, Corporate Comptroller prior to this appointment. He will be replacing Michael D. Mulholland, who is going to serve as the vice president of finance at CytoDyn from on.
While this appointment seems to have been welcomed by the market, a bizarre chapter was opened in the company’s current run in with the FDA. Earlier on this week, the Chief Executive Officer of CytoDyn Nader Pourhassan urged the company’s investors to stop badmouthing and trashing the FDA. The statement from the FDA with regards to the clinical trial of leronlimab had clearly not impressed the company’s investors.
The CEO stated that all the badmouthing should be directed at him and requested investors to desist from abusing the agency in any way. The FDA had earlier stated that it had been forced to make a public statement about leronlimab primarily due to the considerable public interest in the product.