Alkermes Target of Unusually High Options Trading (NASDAQ:ALKS)

Key Points

• Alkermes plc experienced a significant increase in options trading with 2,119 call options purchased, marking a 188% rise compared to its average daily volume.
• The company's stock declined by 5.0% to $28.45, accompanied by a trading volume exceeding its average at 5,511,323 shares.
• Alkermes reported a Q2 EPS of $0.52, surpassing analysts' expectations, but its revenue was down 2.1% year-over-year at $390.66 million.

Alkermes plc (NASDAQ:ALKS - Get Free Report) was the target of unusually large options trading activity on Monday. Stock investors purchased 2,119 call options on the stock. Thisisanincreaseof188% compared to the typical daily volume of 735 call options.

Alkermes Stock Down 5.0%

Shares of ALKS stock traded down $1.49 on Monday, hitting $28.45. The stock had a trading volume of 5,511,323 shares, compared to its average volume of 1,775,656. The business has a 50 day moving average price of $28.35 and a 200 day moving average price of $30.10. The company has a market cap of $4.70 billion, a PE ratio of 13.68, a P/E/G ratio of 1.72 and a beta of 0.53. Alkermes has a one year low of $25.17 and a one year high of $36.45.

Alkermes (NASDAQ:ALKS - Get Free Report) last announced its earnings results on Tuesday, July 29th. The company reported $0.52 EPS for the quarter, topping analysts' consensus estimates of $0.42 by $0.10. The business had revenue of $390.66 million during the quarter, compared to the consensus estimate of $343.20 million. Alkermes had a net margin of 23.15% and a return on equity of 24.86%. The firm's revenue was down 2.1% on a year-over-year basis. During the same period in the previous year, the company posted $1.16 earnings per share. Alkermes has set its FY 2025 guidance at 1.030-1.210 EPS. Equities research analysts expect that Alkermes will post 1.31 EPS for the current year.

Insider Transactions at Alkermes

In related news, SVP Christian Todd Nichols sold 3,334 shares of the stock in a transaction on Tuesday, June 10th. The shares were sold at an average price of $31.09, for a total transaction of $103,654.06. Following the transaction, the senior vice president directly owned 86,208 shares of the company's stock, valued at $2,680,206.72. This represents a 3.72% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. 4.40% of the stock is currently owned by corporate insiders.

Institutional Inflows and Outflows

A number of large investors have recently bought and sold shares of ALKS. Twin Tree Management LP acquired a new position in Alkermes in the first quarter valued at approximately $29,000. Armstrong Advisory Group Inc. acquired a new position in Alkermes in the second quarter valued at approximately $29,000. Brooklyn Investment Group lifted its holdings in Alkermes by 1,071.1% in the first quarter. Brooklyn Investment Group now owns 1,054 shares of the company's stock valued at $35,000 after acquiring an additional 964 shares during the period. Quantbot Technologies LP lifted its holdings in Alkermes by 54.5% in the first quarter. Quantbot Technologies LP now owns 1,091 shares of the company's stock valued at $36,000 after acquiring an additional 385 shares during the period. Finally, USA Financial Formulas acquired a new position in shares of Alkermes during the 1st quarter worth approximately $49,000. 95.21% of the stock is owned by institutional investors and hedge funds.

Analyst Upgrades and Downgrades

Several research analysts have weighed in on ALKS shares. Royal Bank Of Canada upped their price objective on shares of Alkermes from $40.00 to $42.00 and gave the stock a "sector perform" rating in a report on Wednesday, July 30th. HC Wainwright reissued a "neutral" rating and issued a $46.00 price target on shares of Alkermes in a research note on Monday, July 21st. Cantor Fitzgerald raised shares of Alkermes to a "strong-buy" rating in a report on Tuesday, May 13th. UBS Group upgraded shares of Alkermes from a "neutral" rating to a "buy" rating and upped their price objective for the stock from $33.00 to $42.00 in a report on Tuesday, June 17th. Finally, Wells Fargo & Company raised shares of Alkermes to a "strong-buy" rating in a research report on Wednesday, September 3rd. Two research analysts have rated the stock with a Strong Buy rating, eight have given a Buy rating and three have assigned a Hold rating to the company. According to MarketBeat, the company presently has a consensus rating of "Moderate Buy" and an average price target of $41.31.

Alkermes Company Profile

Alkermes plc, a biopharmaceutical company, researches, develops, and commercializes pharmaceutical products to address unmet medical needs of patients in therapeutic areas in the United States, Ireland, and internationally. It has a portfolio of proprietary commercial products for the treatment of alcohol dependence, opioid dependence, schizophrenia and bipolar I disorder and a pipeline of clinical and preclinical product candidates in development for neurological disorders.

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