Investors in Clovis Oncology (NASDAQ:CLVS) stock will want to prepare for a bankruptcy filing following a warning from the pharmaceutical company.
According to a filing with the U.S. Securities and Exchange Commission (SEC), the company is expecting to file for Chapter 11 bankruptcy protection. The company says this will happen “in the very near term.”
That bankruptcy filing follows the company missing a payment date for interest on convertible senior notes due 2025. The initial missed date was on Nov. 1, 2022. The company had a 30-day grace period to make the payment by Dec. 1, 2022, but it elected to not make the payment due to its current liquidity situation.
CLVS Stock Is Already Falling
Investors aren’t reacting well to today’s news, with shares of CLVS stock already taking a beating. However, the penny stock isn’t seeing heavy trading. Only around 2 million shares are on the move as of this writing. That’s roughly half the company’s daily average trading volume of about 4.1 million shares.
Even so, CLVS stock is down 12.7% as of Monday afternoon. Investors will also note that shares are down 90.4% since the start of the year. CLVS stock once traded for roughly $98 apiece back in 2017, but those days seem to be long behind it.
Investors hoping to find more stock market news for today are in luck!
InvestorPlace is home to all of the most recent stock market coverage traders need for Monday! That includes the news moving shares of Mullen Automotive (NASDAQ:MULN) stock, Vodafone (NASDAQ:VOD) stock and Chinese stocks today. You can read up on all of that news at the following links!
More Stock Market News for Monday
- CEO David Michery Just Received 28 Million Shares of Mullen (MULN) Stock
- VOD Stock Alert: What to Know as Vodafone Says Goodbye to CEO
- Why Are Chinese Stocks Up Today?
On Penny Stocks and Low-Volume Stocks: With only the rarest exceptions, InvestorPlace does not publish commentary about companies that have a market cap of less than $100 million or trade less than 100,000 shares each day. That’s because these “penny stocks” are frequently the playground for scam artists and market manipulators. If we ever do publish commentary on a low-volume stock that may be affected by our commentary, we demand that InvestorPlace.com’s writers disclose this fact and warn readers of the risks.
On the date of publication, William White did not hold (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.