Xencor Inc (NASDAQ:XNCR) stock has reached a 52-week low, touching down at $9.34, marking a steep 14.7% decline in just the past week. According to InvestingPro analysis, the stock appears oversold based on technical indicators, while trading below its Fair Value estimate. This price level reflects a significant downturn from the previous year, with the stock experiencing a 1-year change of -54.05%. Investors are closely monitoring Xencor’s performance, as the company navigates through the pressures of the biotech sector, which has seen widespread volatility in recent times. The 52-week low serves as a critical indicator for shareholders and potential investors, marking the lowest price point for Xencor stock over the past year and setting a new benchmark for the company’s market valuation. InvestingPro subscribers can access 12 additional investment tips and a comprehensive Pro Research Report, offering deeper insights into Xencor’s financial health and growth prospects.
In other recent news, Xencor Inc has announced plans to restate its financial statements for the fiscal year ending December 31, 2023, and subsequent quarters through September 30, 2024. This decision follows the identification of errors in accounting for a royalty transaction and tax misstatements. The company’s Audit Committee, in consultation with management and RSM US LLP, determined that a royalty transaction with OMERS Life Sciences was incorrectly accounted for as deferred income instead of debt. This led to an understatement of accounts receivable by $12.4 million and an overstatement of deferred income by $156.9 million. Additionally, revenue and interest expenses were understated by $6.3 million and $5.5 million, respectively. The company also identified a material weakness in its internal control over financial reporting related to the royalty transaction. Furthermore, a misstatement was found in research and development expenses, resulting in an uncertain tax position estimated at $5.6 million. Despite these errors, Xencor stated that its reported cash, cash equivalents, and marketable debt securities remain unaffected.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.