Why Akebia Therapeutics Inc. (AKBA) Went Down On Thursday?

We recently published a list of Thursday’s 10 Worst-Performing Stocks. In this article, we are going to take a look at where Akebia Therapeutics Inc. (NASDAQ:AKBA) stands against other Thursday’s worst-performing stocks.

Wall Street’s main indices edged lower on Thursday, erasing gains from the previous trading day that was buoyed by the Federal Reserve’s decision to keep rates unchanged.

Among the major indices, the tech-heavy Nasdaq led the drop, losing 0.33 percent. The S&P 500 declined by 0.22 percent, while the Dow Jones dipped by 0.03 percent.

Ten companies, predominantly under the micro- and small-cap sectors also mirrored losses. In this article, we have identified Thursday’s 10 worst performers and detailed the reasons behind their gains.

We classify micro-cap companies as those between $50 million and $300 million in market capitalization and small-cap firms as those between $300 million and $2 billion in market capitalization.

Akebia Therapeutics Inc. (NASDAQ:AKBA)

Akebia Therapeutics saw its share prices decline by 28.17 percent on Thursday to finish at $2.04 each as investors soured on the disappointing price of its $50 million follow on offering.

Under the offer, AKBA would sell 25 million common shares at a price of $2 apiece, a discount from its $2.04 finish on Thursday and this week’s highest of $2.84.

In addition, AKBA granted its underwriters a 30-day option to purchase up to 3.75 million shares at the same public offer price.

The offer is expected to close on Friday, March 21, 2025, subject to the satisfaction of customary closing conditions.

AKBA said the shares on offer are pursuant to a shelf registration statement that was filed with the Securities and Exchange Commission on September 3, 2024 and declared effective by the SEC on September 12, 2024.

Overall, AKBA ranks 3rd on our list of Thursday’s worst-performing stocks. While we acknowledge the potential of AKBA as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is as promising as AKBA but trades at less than 5 times its earnings, check out our report about the cheapest AI stock.

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Disclosure: None. This article is originally published at Insider Monkey.