Amphastar Pharmaceuticals (AMPH) Plunges 4.98% on Strong Sell Rating

Amphastar Pharmaceuticals (AMPH) experienced a significant decline, with its share price dropping by 4.98% to its lowest level since December 2021, marking an intraday decrease of 5.85%.

The strategy of buying AMPH shares after they reach a recent low and holding for one week resulted in a 49.09% return over the past five years. While this outperformed the benchmark return of 58.03%, it underperformed the market with a -8.93% excess return. The strategy had a maximum drawdown of 0.00%, a Sharpe ratio of 0.32, and a volatility of 53.33%.

The recent downturn in Amphastar's stock price can be attributed to a technical downgrade, which has classified the stock as a Strong Sell Candidate as of July 18, 2025. This technical analysis indicates that the stock is currently in a wide and falling trend, with increased trading volume on declining prices, suggesting potential continued weakness in the near term.

Both short-term and long-term moving averages are generating sell signals, further contributing to the negative outlook. The lack of support from accumulated volume below the current price level adds to the risk, indicating that the stock may face further challenges in the upcoming days.