Arcus Biosciences (NYSE:RCUS) Stock Moved Down to Sell by Wall Street Zen

Key Points

• Wall Street Zen downgraded Arcus Biosciences to “sell” from “hold,” though broader analyst sentiment remains positive: 12 analysts rate the stock a buy, with a consensus “moderate buy” rating and a $39.64 price target.
• RCUS opened at $18.54, near its one-year low of $16.87 and well below its 50- and 200-day moving averages of roughly $26. The company remains unprofitable, reporting a quarterly loss of $0.72 per share and a 74.4% year-over-year revenue decline.
• A $250 million stock offering improved Arcus’s liquidity and clinical-development funding but increased shareholder dilution, contributing to the recent share-price decline.

Arcus Biosciences (NYSE:RCUS - Get Free Report) was downgraded by stock analysts at Wall Street Zen from a "hold" rating to a "sell" rating in a report issued on Saturday, Wall Street Zen reports.

Other equities research analysts also recently issued research reports about the company. Citigroup raised their target price on Arcus Biosciences from $45.00 to $50.00 and gave the company a "buy" rating in a report on Wednesday. Truist Financial boosted their price target on Arcus Biosciences from $40.00 to $41.00 and gave the stock a "buy" rating in a report on Wednesday. Wedbush upped their price objective on Arcus Biosciences from $43.00 to $49.00 and gave the stock an "outperform" rating in a research report on Wednesday. TD Cowen assumed coverage on Arcus Biosciences in a research note on Wednesday, September 16th. They issued a "buy" rating on the stock. Finally, Wells Fargo & Company raised their price objective on Arcus Biosciences from $23.00 to $26.00 and gave the company an "equal weight" rating in a research note on Thursday, August 6th. Twelve research analysts have rated the stock with a Buy rating, three have given a Hold rating and one has assigned a Sell rating to the stock. According to MarketBeat, the stock presently has a consensus rating of "Moderate Buy" and a consensus price target of $39.64.

Arcus Biosciences Stock Performance

NYSE RCUS opened at $18.54 on Friday. The firm's 50 day simple moving average is $26.12 and its 200 day simple moving average is $26.14. The firm has a market capitalization of $2.36 billion, a price-to-earnings ratio of -4.75 and a beta of 0.94. The company has a current ratio of 3.82, a quick ratio of 3.82 and a debt-to-equity ratio of 0.22. Arcus Biosciences has a 1 year low of $16.87 and a 1 year high of $31.74.

Arcus Biosciences (NYSE:RCUS - Get Free Report) last announced its quarterly earnings data on Wednesday, August 5th. The company reported ($0.72) EPS for the quarter, beating the consensus estimate of ($0.89) by $0.17. Arcus Biosciences had a negative net margin of 393.16% and a negative return on equity of 89.54%. The business had revenue of $41.00 million during the quarter, compared to the consensus estimate of $21.98 million. Arcus Biosciences's quarterly revenue was down 74.4% on a year-over-year basis. As a group, research analysts expect that Arcus Biosciences will post -3.55 earnings per share for the current fiscal year.

Insider Transactions at Arcus Biosciences

In other news, CAO Alexander Azoy sold 2,827 shares of the firm's stock in a transaction on Friday, August 21st. The stock was sold at an average price of $30.00, for a total transaction of $84,810.00. Following the completion of the sale, the chief accounting officer directly owned 39,581 shares of the company's stock, valued at $1,187,430. This trade represents a 6.67% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. 7.60% of the stock is owned by company insiders.

Hedge Funds Weigh In On Arcus Biosciences

Hedge funds and other institutional investors have recently made changes to their positions in the stock. Integrated Wealth Concepts LLC bought a new position in Arcus Biosciences during the second quarter valued at about $30,000. KBC Group NV bought a new stake in Arcus Biosciences in the first quarter worth about $50,000. Sterling Capital Management LLC raised its position in Arcus Biosciences by 328.4% in the third quarter. Sterling Capital Management LLC now owns 2,716 shares of the company's stock worth $70,000 after acquiring an additional 2,082 shares during the period. Royal Bank of Canada raised its position in Arcus Biosciences by 14.6% in the first quarter. Royal Bank of Canada now owns 4,758 shares of the company's stock worth $102,000 after acquiring an additional 607 shares during the period. Finally, GAMMA Investing LLC boosted its stake in Arcus Biosciences by 10.0% in the second quarter. GAMMA Investing LLC now owns 3,966 shares of the company's stock valued at $122,000 after acquiring an additional 359 shares during the last quarter. 92.89% of the stock is owned by hedge funds and other institutional investors.

Key Stories Impacting Arcus Biosciences

Here are the key news stories impacting Arcus Biosciences this week:

• Positive Sentiment: Analyst support: Truist Financial and Wedbush both forecast strong price appreciation for RCUS, suggesting analysts see upside following the recent selloff. Truist Financial Forecasts Strong Price Appreciation for Arcus Biosciences Wedbush Forecasts Strong Price Appreciation for Arcus Biosciences
• Positive Sentiment: Promising casdatifan data: Arcus presented new ARC-20 data evaluating casdatifan across multiple lines of therapy in kidney cancer. The results may support the drug’s development and commercial potential, though investors are likely seeking additional details on efficacy and durability. Arcus Presents New Casdatifan Data
• Neutral Sentiment: Improved liquidity: Arcus estimates it held approximately $694 million in cash, cash equivalents and marketable securities as of September 30, 2026. Proceeds from the offering should further extend its funding runway for clinical development, but the benefit comes with shareholder dilution. Arcus Estimates Cash Position
• Negative Sentiment: Equity dilution: Arcus priced an underwritten public offering of 14.29 million shares at $17.50 per share, expected to raise $250 million before expenses. The discounted issuance increases the share count and was the primary catalyst for the stock’s decline. Arcus Prices $250 Million Offering
• Negative Sentiment: Investor litigation risk: Kuehn Law said it is investigating potential fiduciary-duty violations and alleged self-dealing by company officers and directors. The announcement does not establish wrongdoing, but it adds reputational and legal uncertainty. Kuehn Law Investigation

Arcus Biosciences Company Profile

Arcus Biosciences, Inc is a clinical-stage biopharmaceutical company focused on developing therapies for cancer and other serious diseases. The company uses its research platform to discover and advance medicines designed to target immune suppression and other biological mechanisms involved in tumor growth.

Arcus's oncology pipeline has included antibody-based and small-molecule therapies aimed at targets such as TIGIT, PD-1, CD73, and the adenosine A2A and A2B receptors. Its key development programs have included domvanalimab, zimberelimab, quemliclustat, and etrumadenant, which have been evaluated in clinical studies across several cancer types, including lung, gastrointestinal, and colorectal cancers.

Founded in 2015 and headquartered in Hayward, California, Arcus conducts research and clinical-development activities intended to support potential commercialization in international markets.

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