ADC Therapeutics (NYSE:ADCT) Posts Earnings Results, Misses Expectations By $0.02 EPS

Key Points

• ADC reported Q results with EPS of -$0.21, missing consensus by $0.02, while revenue beat estimates at $20.85 million versus $19.99 million and improved from -$0.36 a year earlier.
• Major shareholder Redmile Group sold 2.63 million shares at about $3.28 (a 17.22% reduction), and insiders have sold 5.88 million shares in the past 90 days, signaling significant insider selling activity.
• The stock traded at $3.63 (down $0.20) on elevated volume, while analysts maintain a consensus rating of "Moderate Buy" with a consensus price target of $7.67, implying notable upside from current levels.

ADC Therapeutics (NYSE:ADCT - Get Free Report) issued its quarterly earnings results on Tuesday. The company reported ($0.21) earnings per share (EPS) for the quarter, missing the consensus estimate of ($0.19) by ($0.02), RTT News reports. The firm had revenue of $20.85 million during the quarter, compared to analyst estimates of $19.99 million. During the same quarter in the previous year, the business earned ($0.36) earnings per share.

ADC Therapeutics Price Performance

ADCT traded down $0.20 during trading on Monday, reaching $3.63. The company had a trading volume of 1,735,126 shares, compared to its average volume of 850,680. ADC Therapeutics has a 12 month low of $1.23 and a 12 month high of $4.98. The business's fifty day moving average price is $4.04 and its 200 day moving average price is $3.96. The company has a market cap of $462.34 million, a P/E ratio of -3.03 and a beta of 1.83.

Analysts Set New Price Targets

Several equities analysts recently weighed in on ADCT shares. Weiss Ratings restated a "sell (d-)" rating on shares of ADC Therapeutics in a report on Monday, April 20th. HC Wainwright lifted their price objective on shares of ADC Therapeutics from $7.00 to $8.00 and gave the stock a "buy" rating in a research note on Monday, March 23rd. Three research analysts have rated the stock with a Buy rating and one has issued a Sell rating to the company. According to MarketBeat, the stock currently has an average rating of "Moderate Buy" and a consensus price target of $7.67.

Insider Activity

In related news, major shareholder Redmile Group, Llc sold 2,634,506 shares of the firm's stock in a transaction on Thursday, April 2nd. The shares were sold at an average price of $3.28, for a total transaction of $8,641,179.68. Following the sale, the insider directly owned 12,666,731 shares in the company, valued at $41,546,877.68. This trade represents a 17.22% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available at this hyperlink. Insiders have sold a total of 5,880,415 shares of company stock worth $19,641,067 over the last ninety days. 5.40% of the stock is owned by corporate insiders.

Hedge Funds Weigh In On ADC Therapeutics

Several hedge funds have recently modified their holdings of the stock. Prosight Management LP raised its position in ADC Therapeutics by 13.5% during the fourth quarter. Prosight Management LP now owns 8,477,338 shares of the company's stock worth $29,925,000 after acquiring an additional 1,005,035 shares in the last quarter. Nantahala Capital Management LLC grew its position in shares of ADC Therapeutics by 141.6% in the 4th quarter. Nantahala Capital Management LLC now owns 5,475,433 shares of the company's stock valued at $19,328,000 after acquiring an additional 3,209,144 shares during the period. Bank of America Corp DE increased its stake in shares of ADC Therapeutics by 22.1% during the 2nd quarter. Bank of America Corp DE now owns 2,199,059 shares of the company's stock worth $5,893,000 after purchasing an additional 397,905 shares during the last quarter. Goldman Sachs Group Inc. increased its stake in shares of ADC Therapeutics by 2.9% during the 4th quarter. Goldman Sachs Group Inc. now owns 1,640,872 shares of the company's stock worth $5,792,000 after purchasing an additional 46,438 shares during the last quarter. Finally, State Street Corp raised its holdings in shares of ADC Therapeutics by 8.6% in the 4th quarter. State Street Corp now owns 1,407,325 shares of the company's stock valued at $4,968,000 after purchasing an additional 111,384 shares during the period. Institutional investors own 41.10% of the company's stock.

ADC Therapeutics Company Profile

ADC Therapeutics SA is a clinical-stage biopharmaceutical company focused on the discovery and development of highly targeted antibody-drug conjugates (ADCs) designed to treat hematological malignancies such as non-Hodgkin lymphoma and acute myeloid leukemia. By marrying the specificity of monoclonal antibodies with potent cytotoxic payloads, the company aims to maximize tumor cell eradication while limiting off-target toxicity.

At the core of ADC Therapeutics' portfolio is loncastuximab tesirine-lpyl, a CD19-directed ADC that received accelerated approval from the U.S.