Cantor Fitzgerald Initiates Coverage on Arcutis Biotherapeutics (NASDAQ:ARQT)

Key Points

• Cantor Fitzgerald initiated coverage of Arcutis Biotherapeutics with an “overweight” rating and a $48 price target, implying approximately 81.75% upside from the prior close.
• Analyst sentiment is generally positive: eight analysts rate the stock Buy and three rate it Hold, producing a “Moderate Buy” consensus rating and an average price target of $37.33.
• Arcutis exceeded quarterly expectations, reporting $0.11 in EPS versus a $0.06 estimate and revenue of $129.86 million versus $118.85 million expected; however, insiders have sold 79,225 shares worth about $2.02 million over the past 90 days.

Analysts at Cantor Fitzgerald started coverage on shares of Arcutis Biotherapeutics (NASDAQ:ARQT - Get Free Report) in a note issued to investors on Thursday, MarketBeat Ratings reports. The firm set an "overweight" rating and a $48.00 price target on the stock. Cantor Fitzgerald's price objective would indicate a potential upside of 81.75% from the stock's previous close.

Other analysts have also recently issued research reports about the company. Wall Street Zen cut Arcutis Biotherapeutics from a "strong-buy" rating to a "buy" rating in a research note on Saturday, October 10th. Morgan Stanley increased their target price on Arcutis Biotherapeutics from $34.00 to $38.00 and gave the stock an "overweight" rating in a report on Thursday, August 6th. Needham & Company LLC lifted their target price on Arcutis Biotherapeutics from $36.00 to $40.00 and gave the stock a "buy" rating in a research report on Thursday, August 6th. Weiss Ratings downgraded Arcutis Biotherapeutics from a "hold (c)" rating to a "hold (c-)" rating in a report on Wednesday. Finally, Guggenheim boosted their price target on Arcutis Biotherapeutics from $35.00 to $38.00 and gave the company a "buy" rating in a report on Thursday, August 6th. Eight investment analysts have rated the stock with a Buy rating and three have issued a Hold rating to the company. According to data from MarketBeat.com, the stock currently has an average rating of "Moderate Buy" and a consensus price target of $37.33.

Arcutis Biotherapeutics Price Performance

ARQT opened at $26.41 on Thursday. The company has a market capitalization of $3.32 billion, a P/E ratio of 124.24 and a beta of 1.57. The company has a 50-day moving average of $25.32 and a 200-day moving average of $24.73. The company has a debt-to-equity ratio of 0.46, a quick ratio of 2.67 and a current ratio of 2.92. Arcutis Biotherapeutics has a 1-year low of $19.30 and a 1-year high of $31.77.

Arcutis Biotherapeutics (NASDAQ:ARQT - Get Free Report) last issued its quarterly earnings results on Wednesday, August 5th. The company reported $0.11 EPS for the quarter, topping the consensus estimate of $0.06 by $0.05. The business had revenue of $129.86 million for the quarter, compared to analysts' expectations of $118.85 million. Arcutis Biotherapeutics had a net margin of 6.15% and a return on equity of 15.05%. Equities analysts expect that Arcutis Biotherapeutics will post 0.42 EPS for the current fiscal year.

Insider Buying and Selling

In other news, insider Patrick Burnett sold 8,300 shares of Arcutis Biotherapeutics stock in a transaction dated Tuesday, August 11th. The shares were sold at an average price of $26.52, for a total value of $220,116.00. Following the completion of the transaction, the insider directly owned 119,289 shares of the company's stock, valued at approximately $3,163,544.28. The trade was a 6.51% decrease in their position. The transaction was disclosed in a filing with the SEC, which is accessible through this hyperlink. Also, Director Howard Welgus sold 4,730 shares of the business's stock in a transaction dated Monday, August 17th. The shares were sold at an average price of $26.18, for a total transaction of $123,831.40. Following the sale, the director directly owned 36,475 shares of the company's stock, valued at approximately $954,915.50. This represents a 11.48% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last 90 days, insiders sold 79,225 shares of company stock worth $2,015,966. Company insiders own 9.40% of the company's stock.

Hedge Funds Weigh In On Arcutis Biotherapeutics

Several institutional investors have recently made changes to their positions in the stock. Nykredit A S acquired a new position in shares of Arcutis Biotherapeutics during the second quarter worth approximately $63,000. Integrated Wealth Concepts LLC acquired a new position in Arcutis Biotherapeutics during the second quarter worth about $84,000. KBC Group NV raised its holdings in shares of Arcutis Biotherapeutics by 43.2% in the 1st quarter. KBC Group NV now owns 4,376 shares of the company's stock worth $103,000 after purchasing an additional 1,321 shares in the last quarter. Independent Financial Group LLC acquired a new stake in shares of Arcutis Biotherapeutics during the 1st quarter valued at $210,000. Finally, Amundi acquired a new position in shares of Arcutis Biotherapeutics in the 1st quarter valued at $214,000.

Arcutis Biotherapeutics Company Profile

Arcutis Biotherapeutics, Inc NASDAQ: ARQT is a biopharmaceutical company focused on developing and commercializing treatments for dermatologic conditions. The company concentrates on medical dermatology, with an emphasis on addressing diseases that can significantly affect patients' quality of life and for which additional treatment options are needed.

Arcutis's primary commercial product is ZORYVE (roflumilast), a topical phosphodiesterase-4 inhibitor available in multiple formulations.

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