Company: Daiichi Sankyo
Beginning Price: 1524 yen
Ending Price: 1254 yen
If Daiichi Sankyo's top-level management are frustrated, you can't blame them. As 2012 began, the company dispatched a Japanese posse to oversee manufacturing at its troubled Indian subsidiary, Ranbaxy Laboratories. Then, the company announced Ranbaxy's precedent-setting consent decree with the FDA, which included a $500 million charge. That took its toll on the Indian company's bottom line--and, like Ranbaxy's other losses, caused a ripple effect at the parent company the following quarter. Meanwhile, the company's Effient blood thinner failed to best rival Plavix, now generic, in a clinical trial. An oncology partnership with ArQule ($ARQL) hit rocky ground as a lung cancer drug failed a late-stage trial. And as the yen lost ground against the dollar, currency losses helped undercut net income for the first 6 months of its fiscal year. The company's good news--including modest year-over-year sales growth and a new vaccine alliance with GlaxoSmithKline ($GSK)--was capped off by another fiasco at Ranbaxy. The Indian company had to recall its copy of Pfizer's ($PFE) cholesterol drug Lipitor, the drug that had helped redeem Ranbaxy in Daiichi's books, in late November.
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