3 pharma companies named to list of worst performing stocks for 2016


As investors scout out promising stocks to buy in the new year, U.S. News & World Report looks back on the worst performing stocks of 2016.

Here are three drug companies that made this year's list.

1. Valeant Pharmaceuticals (Laval, Canada)

Valeant's shares are down more than 80 percent on the year, making it the worst performing mid- to large-capitalization stock in the entire market, according to the report. The drugmaker has had its fair share of issues this past year. In January 2016, Hillary Clinton brought negative public attention to Valeant, calling out the company for price gouging at a town hall meeting in Iowa. In November, the FBI arrested and charged two former Valeant executives for corporate fraud.

2. Allergan (Parsippany-Troy Hills, NJ)

Allergan's shares have dropped about 40 percent this year. While the company struggled with operational performance in 2016, U.S. News & World Report lists its failed merger with Pfizer as the main culprit for the drop in stock. Pfizer agreed to acquire Allergan for $160 billion, or about $363 per share, but the agreement was dropped in April after the U.S. Department of Treasury created new regulations to prevent large companies from avoiding taxes through corporate inversions.

3. Mylan (Canonsburg, Pa.)

In just five days, Mylan's stock dropped by 12.4 percent from a high of $49.20 a share on August 19 to $43.11 on August 24, according to data from MarketWatch. The drugmaker faced a large amount of scrutiny this year from the media, politicians and consumers over the high price of EpiPens, which has increased by more than 400 percent since Mylan acquired the drug in 2007.

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