Stock News in Focus: Axcella Health Inc. (NASDAQ: AXLA)

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On 08 May 2020, Axcella Health Inc. (NASDAQ: AXLA) changed 0.40% to recent value of $5.08. The stock transacted 52136 shares during most recent day however it has an average volume of 68.56K shares. It spotted trading -68.23% off 52-week high price. On the other end, the stock has been noted 84.06% away from the low price over the last 52-weeks.

Axcella Health Inc. (AXLA) recently reported financial results for the fourth quarter and full year ended December 31, 2019 and provided a business update.

Financial Results

R&D Expenses: Research and development expenses were $10.8M and $7.9M for the quarters ended December 31, 2019 and 2018, respectively. Research and development expenses were $41.7M and $25.5M for the years ended December 31, 2019 and 2018, respectively. The increase in both periods was primarily related to greater costs associated with the advancement of the company’s product candidates and ongoing clinical studies.

G&A Expenses: General and administrative expenses were $4.6M and $1.3M for the quarters ended December 31, 2019 and 2018, respectively. General and administrative expenses were $15.8M and $8.4M for the years ended December 31, 2019 and 2018, respectively. The increase in both periods was primarily related to higher professional services and employee-related costs associated with being a public company.

Net Loss: Net loss for the quarter ended December 31, 2019 was $15.7M, or $0.68 per basic and diluted share. This compares with a net loss of $9.8M, or $2.05 per basic and diluted share, for the quarter ended December 31, 2018. Net loss for the year ended December 31, 2019 was $59.0M, or $3.55 per basic and diluted share. This compares with a net loss of $36.1M, or $7.97 per basic and diluted share, for the year ended December 31, 2018.

Cash Position: Cash and cash equivalents at December 31, 2019 were $92.1M, which compares with $79.5M at December 31, 2018. The increase was the result of proceeds from the company’s May 2019 initial public offering, partially offset by operating expenditures. Axcella expects that its cash and cash equivalents will be sufficient to meet the company’s operating needs into the second quarter of 2021.

The company has 23.08M of outstanding shares and 21.76M shares were floated in the market. According to the most recent quarter its current ratio was 11.7 that represents company’s ability to meet its current financial obligations. The price moved ahead of 18.46% from the mean of 20 days, 27.79% from mean of 50 days SMA and performed -29.43% from mean of 200 days price. Company’s performance for the week was 8.78%, 49.85% for month and YTD performance remained 26.68%.

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