Crinetics Pharmaceuticals (NASDAQ: CRNX) saw its stock drop over 8% following a disappointing quarterly earnings report. The company earned $143,000 in revenue from a licensing agreement with Sanwa Kagaku Kenkyusho for its acromegaly treatment Palsonify. However, the net loss deepened to over $130 million, missing analyst estimates. CEO Scott Struthers remains optimistic about Palsonify’s commercial rollout. Despite the market reaction, Crinetics is in a strong financial position with multiple clinical trials advancing. Investors should consider the volatility of biotech stocks before buying. The Motley Fool did not include Crinetics in its top 10 stock recommendations for investors.

Read more at Yahoo Finance: Why Crinetics Pharmaceuticals Stock Was Sliding on Friday