Amphastar Pharmaceuticals' stock plummeted 22.72% intraday on Friday, following a significant pre-market decline.

The sharp drop comes after the company reported disappointing first-quarter financial results that missed analyst expectations. Adjusted earnings per share of $0.42 fell well short of the $0.71 consensus estimate, while revenue of $171.17 million also missed expectations. The earnings miss was driven by lower average selling prices for key products including BAQSIMI, glucagon, phytonadione, and epinephrine, which reduced gross margin. Higher manufacturing expenses from facility expansion and increased research & development costs further pressured profitability.

Adding to the negative sentiment, Needham downgraded Amphastar Pharmaceuticals from Buy to Hold, contributing to the stock's downward movement during the trading session.