Alkermes' (ALKS) Outperform Rating Reiterated at Royal Bank Of Canada

Key Points

• Royal Bank of Canada reiterated its “outperform” rating on Alkermes and set a $56 price target, implying 26.88% upside from the prior close. The analyst consensus remains “Moderate Buy,” with an average target of $54.75.
• Alkermes shares opened at $44.14, down 0.1%, with a $7.4 billion market capitalization. The stock has traded between $26.99 and $55.67 over the past year.
• Insiders sold $4.24 million worth of shares during the last quarter, while institutional investors own 95.21% of the company. Recent analyst optimism also reflects positive early-stage results for the ALKS 7290 ADHD program, though further clinical and regulatory milestones are required.

Alkermes (NASDAQ:ALKS - Get Free Report)'s stock had its "outperform" rating restated by Royal Bank Of Canada in a research report issued to clients and investors on Tuesday, Benzinga reports. They presently have a $56.00 price objective on the stock. Royal Bank Of Canada's price target indicates a potential upside of 26.88% from the stock's previous close.

Several other brokerages have also commented on ALKS. Weiss Ratings restated a "hold (c)" rating on shares of Alkermes in a research report on Friday, August 7th. Stifel Nicolaus reiterated a "buy" rating and issued a $63.00 price target (up from $45.00) on shares of Alkermes in a report on Monday, July 20th. Robert W. Baird boosted their price objective on shares of Alkermes from $58.00 to $61.00 and gave the stock an "outperform" rating in a report on Tuesday. Bank of America restated an "underperform" rating on shares of Alkermes in a research report on Monday, June 29th. Finally, JPMorgan Chase & Co. increased their target price on shares of Alkermes from $60.00 to $61.00 and gave the company a "neutral" rating in a report on Wednesday, July 29th. Two investment analysts have rated the stock with a Strong Buy rating, eleven have assigned a Buy rating, four have given a Hold rating and one has given a Sell rating to the company. According to MarketBeat.com, the company presently has a consensus rating of "Moderate Buy" and a consensus target price of $54.75.

Alkermes Stock Down 0.1%

ALKS opened at $44.14 on Tuesday. The company has a debt-to-equity ratio of 0.82, a current ratio of 2.30 and a quick ratio of 1.85. Alkermes has a 12 month low of $26.99 and a 12 month high of $55.67. The stock has a market capitalization of $7.40 billion, a P/E ratio of 118.47 and a beta of 0.31. The business has a 50 day simple moving average of $48.82 and a 200-day simple moving average of $42.04.

Insider Buying and Selling at Alkermes

In other Alkermes news, EVP David Gaffin sold 2,034 shares of Alkermes stock in a transaction dated Thursday, September 3rd. The shares were sold at an average price of $48.01, for a total transaction of $97,652.34. Following the completion of the transaction, the executive vice president owned 223,422 shares in the company, valued at approximately $10,726,490.22. The trade was a 0.90% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is accessible through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, SVP Christian Nichols sold 7,576 shares of the stock in a transaction that occurred on Monday, August 17th. The shares were sold at an average price of $49.23, for a total transaction of $372,966.48. Following the completion of the sale, the senior vice president owned 102,193 shares in the company, valued at $5,030,961.39. This represents a 6.90% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold a total of 85,150 shares of company stock valued at $4,242,213 in the last quarter. Insiders own 4.59% of the company's stock.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently modified their holdings of the stock. Integrated Wealth Concepts LLC purchased a new stake in shares of Alkermes during the 2nd quarter valued at $113,000. Baird Financial Group Inc. purchased a new stake in shares of Alkermes during the 2nd quarter worth about $2,791,000. Arizona State Retirement System increased its position in Alkermes by 1.1% during the 2nd quarter. Arizona State Retirement System now owns 43,580 shares of the company's stock worth $2,283,000 after purchasing an additional 494 shares in the last quarter. VIRGINIA RETIREMENT SYSTEMS ET Al acquired a new position in Alkermes during the second quarter valued at approximately $1,733,000. Finally, Ameritas Advisory Services LLC purchased a new stake in Alkermes during the second quarter worth approximately $39,000. Institutional investors and hedge funds own 95.21% of the company's stock.

More Alkermes News

Here are the key news stories impacting Alkermes this week:

• Positive Sentiment: Alkermes reported positive top-line Phase Ib results for ALKS 7290 in adults with attention-deficit hyperactivity disorder. The study demonstrated clinical proof of concept and meaningful improvements in ADHD symptoms, strengthening the case for the company’s orexin agonist platform and creating a potential new growth opportunity beyond its marketed medicines. Alkermes reports positive top-line Phase Ib trial data for ALKS 7290
• Positive Sentiment: The ADHD results were described as a potential “company changer,” with coverage highlighting the significance of applying Alkermes’ orexin research to a large, underserved market. The data prompted a favorable initial market reaction and increased investor interest in the program. With pioneering ADHD data, Alkermes eyes orexin agonist as potential company changer
• Positive Sentiment: Robert W. Baird raised its Alkermes price target from $58 to $61 and maintained an “outperform” rating. Needham also reaffirmed its “buy” rating with a $62 target, suggesting analysts see substantial upside if ALKS 7290 continues to progress.
• Neutral Sentiment: Analyst coverage overall remains constructive, with Alkermes receiving a consensus “Moderate Buy” rating. However, ALKS 7290 is still in early-stage development, so additional clinical testing and regulatory milestones will be needed before the drug can generate commercial revenue. Alkermes given consensus rating of Moderate Buy

Alkermes Company Profile

Alkermes plc NASDAQ: ALKS is a biopharmaceutical company focused on developing and commercializing medicines for central nervous system diseases. Its research and development activities include treatments for schizophrenia, bipolar disorder, addiction and other serious neurological or psychiatric conditions, with an emphasis on long-acting injectable and extended-release formulations.

The company's marketed products include VIVITROL, an extended-release injectable form of naltrexone used to treat alcohol dependence and prevent relapse to opioid dependence after detoxification; ARISTADA, an extended-release injectable formulation of aripiprazole lauroxil for the treatment of schizophrenia in adults; and LYBALVI, an oral combination of olanzapine and samidorphan approved for schizophrenia and bipolar I disorder in adults.

Founded in Ireland in 1987, Alkermes has developed drug-delivery technologies intended to help extend dosing intervals and support medication adherence.

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