Ariad Pharmaceuticals, Inc. (ARIA) to Announce New CEO – Shares Fall

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Reports indicate that Ariad Pharmaceuticals, Inc. (NASDAQ:ARIA) could announce their new CEO as early as today. According to sources close to the company, Paris Panayiotopoulos appears to be on tap to be the company’s next chief executive officer. While it’s been a long time coming since activist investor Alex Denner pushed to oust the founder and CEO Harvey Berger from the company, this news is not being taken too positively by the market.

In pre-market trading shares of Ariad Pharmaceuticals, Inc. (NASDAQ:ARIA), shares are down $0.38 or 6.18%. Panayiotopoulos, who currently works for Merck KGaA as president of their EMD Serono unit also has experience working for Eli Lilly & Co.

The stock closed at $6.22 during the last trading session. It is down 29.92% since May 15, 2015 and is downtrending. It has underperformed the S&P500 by 27.66%.

The institutional sentiment increased to 0.85 in Q2 2015. It’s up 0.17, from 0.68 in 2015Q2. The ratio is positive, as 29 funds sold all their Ariad Pharmaceuticals, Inc. shares they owned while 60 reduced their positions. 23 funds bought stakes while 53 increased their total positions. Institutions now own 143.94 million shares which is 4.55% more than the previous share count of 137.68 million in 2015Q2.

Sarissa Capital Management Lp holds 18.53% of its total portfolio in Ariad Pharmaceuticals, Inc., equating to 12.85 million shares. Opaleye Management Inc. owns 1.31 million shares representing 3.76% of their total US portfolio. Moreover, Camber Capital Management Llc has 2.77% of their total portfolio invested in the company, equating to 5.53 million shares. The Massachusetts-based Granite Point Capital Management L.P. has a total of 2.54% of their portfolio invested in the stock. Ironwood Investment Management Llc, a Massachusetts-based fund reported 579,719 shares owned.

Since March 18, 2015, the stock had 0 insider purchases, and 17 sales for a total of $915,316 in net activity. Duvall Martin J sold 5,000 shares worth $32,317. Bollag Daniel M sold 5,000 shares worth $32,316. Fitzgerald Edward M sold 8,750 shares worth $56,551. Cantor Maria E sold 5,000 shares worth $32,327. The insider Haluska Frank sold 5,500 shares worth $35,503.

ARIAD Pharmaceuticals, Inc. is a global oncology company. The company has a market cap of $1.22 billion. The Firm is engaged in the discovery, development and commercialization of small molecule drug indicated for the treatment of cancer. It currently has negative earnings. The Company’s product pipeline includes Iclusig , brigatinib (AP26113), AP32788 and ridaforolimus.

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