Shares of Amyris, Inc. (AMRS Stock) dropped 27% to $2.10 during Friday morning’s pre-market trading. This followed Thursday evening’s announcement of the restatement of several financial results from the company. But since making this announcement, a look at the AMRS stock chart shows that it has covered this loss in stock price. Since the opening bell, the penny stock has been up by as much as 37% from this morning’s premarket low at the time of this article.
So what happened To Amyris Stock?
Yesterday, the company announced that due to accounting errors it has to restate a number of financial reports. It also said that the errors stem from the way the company handled royalty payments. AMRS is expecting Fiscal Year 2018 sales to drop by $12 million for a total of $16 million and net income to drop $7 million for a total of $11 million.
What To Look For Next
This latest penny stock news has stirred up negative sentiment in the market. A sell-off ensued, which could have been an overreaction to the April 11th news. Anyone looking at this penny stock on April 12th may have a different view, however. Shares of AMRS are up nearly 40% since hitting premarket lows of $2.01. Investors could be thinking that Thursday’s news was not as bad as originally thought and may be using this opportunity to buy the penny stock.
In Related Penny Stock News
It’s important to know what could be helping bolster market momentum for AMRS. A few weeks back, the company put out marijuana news. The company hit its first milestone for its cannabinoid partner, LAVVAN. They brought in the first payment of $10 million, which is part of a $300 million collaboration before future royalty payments. In March, Amyris finalized the $300 million agreement with LAVVAN back in March.