Why Amarin Stock Skyrocketed Today

Core Insights - Amarin's shares surged by 32.9% following the announcement of strong preliminary fiscal fourth-quarter results, a new share-repurchase authorization, and positive guidance for 2024 [1] Financial Performance - For the fourth quarter of 2023, Amarin expects revenue between $72 million and $74 million, significantly exceeding analysts' consensus estimates of approximately $62 million [2] - Full-year 2023 revenue is projected to be between $304 million and $306 million, compared to estimates of $294 million [2] - The company ended the year with approximately $321 million in cash and investments, achieving a positive cash flow of $10 million for the year, marking the sixth consecutive quarter of cash-positive or cash-neutral operations [2] Future Plans - Amarin announced a new conditional share repurchase agreement with Cantor Fitzgerald for up to $50 million in shares, pending shareholder and U.K. High Court approvals, with expected completion around mid-2024 [3] - The company aims to reduce operating expenses further in 2024, targeting $40 million in annual savings from a restructuring plan initiated in July 2023, in response to increasing competition for its cholesterol drug Vascepa [3] - Amarin plans to focus on preserving cash to invest in value-adding opportunities, particularly in the European market, where further efforts are needed [3]