Rubius Therapeutics (RUBY) Stock: Why It Surged Over 25% Today

By Amit Chowdhry ● Sep 23, 2022
  • The stock price of Rubius Therapeutics (RUBY) surged by over 25% pre-market today. This is why.

The stock price of Rubius Therapeutics (RUBY) surged by over 25% pre-market today. 

Why: There are no company-specific reports or regulatory filings so it appears there are external factors at play

Details: Investors on stock trading forums have been citing a dead cat bounce.

What is a dead cat bounce: A dead cat bounce is a temporary recovery in a stock following a substantial fall – which is caused by speculators buying in order to cover positions

Other details: Earlier this month, Rubius Therapeutics announced a major business update, including:

— Implementing a 75% reduction in force, primarily focused on clinical development, manufacturing and general and administrative;

— Discontinuing its ongoing Phase 1 clinical trials of RTX-240 and RTX-224 for the treatment of advanced solid tumors; and

— Exploring the sale of its manufacturing facility in Smithfield, Rhode Island