Why Corcept Therapeutics Stock Was Up 11.6% Friday

Investors may be looking for a bargain after the company was hit with bad news this week.

What happened

Corcept Therapeutics ( CORT 9.65% ) shares, which closed at $17.10 a share on Thursday, rose 11.6% on Friday. The stock opened at $17.52, then climbed to as high as $19.14 in early afternoon trading. The stock’s 52-week high is $31.18 and its low is $15.83. Corcept, which focuses on developing drugs to address medical issues related to cortisol activity, is down more than 24% for the year.

So what

The move was a bounce back from the stock’s lows on Wednesday, when it dropped nearly 17% after Corcept divulged that the U.S. Attorney’s Office for the District of New Jersey was investigating whether the company had broken any laws regarding the sales and promotion of its drug, Korlym, which is used to treat hyperglycemia (high blood sugar) in adults with Cushing syndrome who also have type 2 diabetes mellitus or glucose intolerance.

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