Cygnus Stock Down 17% on Product Delay
Times Staff and Wire Reports
The stock of Cygnus Inc. tumbled 17% after the company announced a delay in the development of its GlucoWatch device for tracking blood sugar in diabetics. Cygnus Inc., based in Redwood City, said a problem with a computer chip will delay development by a few months. The chip issues instructions for sample collection and measurement as well as the gathering, retrieval and storage of data. GlucoWatch uses an electrically charged skin patch to warn diabetics when to take more insulin or sugar and thereby reduce their risk of severe complications. Shares skidded further after PaineWebber cut its rating to “attractive” from “buy.” Cygnus shares fell $2.50 to close at $12.25 a share on Nasdaq.
