Arrowhead Pharmaceuticals (NASDAQ:ARWR) Stock Gets Downgrade from Wall Street Zen

Key Points

• Wall Street Zen downgraded Arrowhead Pharmaceuticals from “hold” to “strong sell,” but analyst sentiment overall remains “Moderate Buy,” with a consensus price target of $98.93.
• Analyst views are mixed: RBC reiterated “outperform” with a $100 target, while UBS rated it “buy” at $109; Goldman Sachs set a “neutral” rating and $74 target.
• Recent quarterly results missed expectations: Arrowhead reported a $3.00-per-share loss versus an expected $1.52 loss, and revenue of $37.79 million versus a $61.18 million consensus.

Arrowhead Pharmaceuticals (NASDAQ:ARWR - Get Free Report) was downgraded by stock analysts at Wall Street Zen from a "hold" rating to a "strong sell" rating in a research report issued on Saturday, Wall Street Zen reports.

Other equities research analysts have also recently issued reports about the company. Royal Bank Of Canada reissued an "outperform" rating and issued a $100.00 target price on shares of Arrowhead Pharmaceuticals in a research note on Friday. UBS Group started coverage on shares of Arrowhead Pharmaceuticals in a research report on Thursday, October 15th. They set a "buy" rating and a $109.00 target price for the company. The Goldman Sachs Group began coverage on Arrowhead Pharmaceuticals in a research note on Thursday, September 24th. They issued a "neutral" rating and a $74.00 price target on the stock. Weiss Ratings reiterated a "sell (d-)" rating on shares of Arrowhead Pharmaceuticals in a report on Monday, August 17th. Finally, Morgan Stanley increased their target price on Arrowhead Pharmaceuticals from $100.00 to $120.00 and gave the company an "overweight" rating in a research note on Thursday, July 23rd. One investment analyst has rated the stock with a Strong Buy rating, ten have assigned a Buy rating, three have issued a Hold rating and one has assigned a Sell rating to the company's stock. According to data from MarketBeat.com, the company currently has an average rating of "Moderate Buy" and a consensus target price of $98.93.

Arrowhead Pharmaceuticals Trading Up 1.3%

Shares of Arrowhead Pharmaceuticals stock opened at $47.78 on Friday. The company has a debt-to-equity ratio of 1.77, a current ratio of 5.90 and a quick ratio of 5.90. The company's fifty day moving average price is $63.32 and its two-hundred day moving average price is $71.00. Arrowhead Pharmaceuticals has a 52-week low of $37.06 and a 52-week high of $95.49. The firm has a market capitalization of $6.73 billion, a PE ratio of -9.35 and a beta of 1.34.

Insiders Place Their Bets

In other news, Director Adeoye Y. Olukotun sold 2,000 shares of the company's stock in a transaction dated Tuesday, August 18th. The stock was sold at an average price of $86.96, for a total transaction of $173,920.00. Following the completion of the transaction, the director directly owned 31,600 shares of the company's stock, valued at $2,747,936. This represents a 5.95% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, Director Michael S. Perry sold 11,600 shares of the stock in a transaction dated Tuesday, August 18th. The stock was sold at an average price of $87.30, for a total value of $1,012,680.00. Following the transaction, the director owned 111,459 shares of the company's stock, valued at approximately $9,730,370.70. The trade was a 9.43% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Company insiders own 3.60% of the company's stock.

Institutional Inflows and Outflows

Several institutional investors have recently made changes to their positions in ARWR. BlackRock Inc. acquired a new position in Arrowhead Pharmaceuticals during the second quarter worth $1,208,838,000. Siren L.L.C. boosted its stake in shares of Arrowhead Pharmaceuticals by 7.7% during the 1st quarter. Siren L.L.C. now owns 1,615,476 shares of the biotechnology company's stock worth $101,290,000 after acquiring an additional 115,000 shares during the period. Janus Henderson Group PLC increased its holdings in shares of Arrowhead Pharmaceuticals by 12.2% during the 1st quarter. Janus Henderson Group PLC now owns 1,436,990 shares of the biotechnology company's stock worth $90,119,000 after acquiring an additional 156,544 shares during the last quarter. Jupiter Topco LLC bought a new stake in Arrowhead Pharmaceuticals in the 2nd quarter valued at $99,623,000. Finally, Renaissance Technologies LLC acquired a new stake in Arrowhead Pharmaceuticals during the 1st quarter valued at $64,988,000. Institutional investors and hedge funds own 62.61% of the company's stock.

More Arrowhead Pharmaceuticals News

These are some of the ARWR news items that stood out recently:

• Positive Sentiment: Royal Bank of Canada reaffirmed its “outperform” rating and $100 price target, signaling continued analyst confidence in Arrowhead’s potential. Royal Bank of Canada rating
• Neutral Sentiment: Stifel Nicolaus kept its “buy” rating but lowered its price target to $96 from $104, reflecting a more cautious valuation while retaining a bullish view. Stifel Nicolaus rating
• Negative Sentiment: For the quarter, Arrowhead reported a $3.00-per-share loss, worse than analysts’ expected $1.52 loss. Revenue of $37.79 million also fell short of the $61.18 million consensus and declined 45.6% year over year, weighing on sentiment around the company’s results. Quarterly earnings report

About Arrowhead Pharmaceuticals

Arrowhead Pharmaceuticals is a biotechnology company that develops medicines using RNA interference (RNAi), a biological process that can reduce the production of specific proteins by silencing the genes that encode them. Its proprietary Targeted RNAi Molecule (TRiM) platform is designed to deliver RNAi treatments to targeted tissues. The company's research and development programs address a range of conditions, including liver, cardiometabolic, pulmonary and neurological diseases. Its work centers on investigational medicines and drug-development partnerships.

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