Shares of the Evofem Biosciences, Inc. (EVFM) stock were declining in the current market trading session today on January 20, 2022. EVFM stock price saw a decline of 7.59% to drop at $0.45 a share at the time of this writing. The stock was green in the previous trade and went up by 22.86% at closing. Let’s understand the current momentum of this stock.
What’s Happening with EVFM stock?
EVFM stock yesterday announced the preliminary results for the fourth quarter of 2021. The strong financial results made the EVFM stock green in the previous trade. The current bearish momentum is the reaction of the previous rise due to the involvement of profit takers. Thus, we can say that this decline is not associated with any negative news related to EVFM stock.
Evofem Biosciences, Inc develops and commercializes innovative products and product candidates to meet the needs of sexual and reproductive health of women. The stock has a market cap of 79.21 million and a 4,409,219 average trading volume. Let’s take a look at the recent financial results of the Evofem Biosciences.
Financial View of EVFM stock:
The company reported strong growth in net product sales of its hormone-free prescription contraceptive gel, Phexxi® in the fourth quarter of 2021. In the reported quarter, the company generated $3.5 million from its net product sales of Phexxi® gel. This represents more than double the net product sales from the third quarter of 2021. The reduced net cash burn rate for the EVFM stock was $17 million in the fourth quarter of 2021. This net cash burn rate was $32.0 million in the third quarter of 2021. The company raised non-dilutive capital of $5 million in January 2022. This will help the company in financing the pivotal Phase 3 trial in STI prevention of Evofem and other ongoing trials.
Phexxi® Gel Update:
In the fourth quarter of 2021, the company reported that it has distributed 39,121 boxes of Phexxi gel. This represents a significant increase of 81% from the third quarter of 2021. Filled prescriptions of 32,386 Phexxi increased by 69% from the third quarter of 2021. About 22,659 new patients adopted Phexxi, representing a 56% increase from the third quarter of 2021. These stats represent strong demand for Phexxi, which is a good sign for the growth of the company as well as EVFM stock.
What’s Next?
The management is looking forward to taking advantage of guidance issued last week by the Health Resources and Services Administration and the U.S. Department of Labor. In a nutshell, this stock can be a good bet for investors in the long run.
