Evotec SE ADR (EVO)

Evotec SE ADR (EVO) stock declined by 31.63% due to the release of the company's earnings report for the full year of 2023 and the outlook for 2024.

• Disappointing 2023 Revenue: Investor sentiment was further dampened by Evotec's 2023 revenue of 781.4 million euros, which fell short of expectations. Despite an 8% increase from the 751.4 million euros reported in 2022, it was lower than the 782 million euros anticipated by Wall Street for the year.
• Outlook for 2024: Evotec expects double-digit revenue growth in 2024, a forecast that RBC Capital describes as "significantly more cautious" than industry predictions for the same period.

Evotec SE ADR (EVO) stock dropped by 8.66% due to the unexpected resignation of Werner Lanthaler, Evotec's long-serving CEO, two years before the end of his term. Lanthaler cited personal reasons for his departure. The company's supervisory board has initiated both internal and external searches for a new CEO. In addition, EVO stock faced such a sharp stock drop following an announcement of an A.I.- powered multi-target collaboration in oncology, immunology, and inflammation between Evotec SE snd Owkin, a French-American techbio company. Owkin will use artificial intelligence to identify relevant targets and subgroups by analyzing multimodal patient data. Evotec, leveraging its shared R&D platform, will expedite target validation, drug candidate identification, and pre-clinical development activities up to IND. Evotec is set to receive R&D funding from Owkin and may earn performance milestone payments and royalties on product sales through this collaboration.