Incyte (NASDAQ:INCY) Downgraded by Zacks Research to Strong Sell

Key Points

• Zacks Research downgraded Incyte from “hold” to “strong sell,” despite the broader analyst consensus remaining “hold” with an average price target of $128.20.
• Incyte shares opened at $113.27, with a 52-week range of $84.02 to $132.60 and a market capitalization of approximately $22.96 billion.
• The company reported stronger-than-expected quarterly results, posting $3.09 in EPS and $1.67 billion in revenue, while institutional investors own nearly 97% of its stock.

Incyte (NASDAQ:INCY - Get Free Report) was downgraded by research analysts at Zacks Research from a "hold" rating to a "strong sell" rating in a research report issued on Wednesday, Zacks reports.

INCY has been the topic of a number of other reports. Wall Street Zen lowered Incyte from a "buy" rating to a "hold" rating in a research note on Saturday, October 10th. Morgan Stanley set a $119.00 price objective on shares of Incyte in a research report on Wednesday, July 29th. Stifel Nicolaus boosted their target price on shares of Incyte from $145.00 to $157.00 and gave the company a "buy" rating in a report on Monday, October 5th. Mizuho upped their price target on shares of Incyte from $121.00 to $137.00 and gave the company an "outperform" rating in a research report on Tuesday, August 4th. Finally, Guggenheim increased their price target on Incyte from $136.00 to $150.00 and gave the stock a "buy" rating in a report on Wednesday, July 29th. One equities research analyst has rated the stock with a Strong Buy rating, eleven have given a Buy rating, twelve have assigned a Hold rating and one has issued a Sell rating to the company. According to MarketBeat.com, the stock currently has a consensus rating of "Hold" and an average target price of $128.20.

Incyte Stock Performance

Shares of INCY opened at $113.27 on Wednesday. Incyte has a 52 week low of $84.02 and a 52 week high of $132.60. The stock has a fifty day moving average of $122.11 and a 200-day moving average of $110.75. The stock has a market capitalization of $22.96 billion, a price-to-earnings ratio of 14.43, a PEG ratio of 3.78 and a beta of 0.74.

Incyte (NASDAQ:INCY - Get Free Report) last announced its quarterly earnings results on Tuesday, July 28th. The biopharmaceutical company reported $3.09 EPS for the quarter, beating analysts' consensus estimates of $2.15 by $0.94. Incyte had a return on equity of 29.93% and a net margin of 27.71%. The firm had revenue of $1.67 billion for the quarter, compared to analyst estimates of $1.50 billion. During the same period last year, the firm posted $1.57 earnings per share. The business's revenue for the quarter was up 37.7% on a year-over-year basis. As a group, equities analysts forecast that Incyte will post 2.40 EPS for the current year.

Insider Transactions at Incyte

In related news, insider Pablo Cagnoni sold 10,801 shares of the business's stock in a transaction dated Wednesday, August 19th. The shares were sold at an average price of $125.56, for a total transaction of $1,356,173.56. Following the transaction, the insider directly owned 183,200 shares in the company, valued at approximately $23,002,592. The trade was a 5.57% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, EVP Patrick Mayes sold 41,899 shares of the business's stock in a transaction that occurred on Friday, July 31st. The stock was sold at an average price of $119.46, for a total value of $5,005,254.54. Following the completion of the transaction, the executive vice president owned 61,441 shares in the company, valued at $7,339,741.86. The trade was a 40.54% decrease in their position. 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. 16.20% of the stock is owned by company insiders.

Hedge Funds Weigh In On Incyte

Several institutional investors have recently added to or reduced their stakes in INCY. BlackRock Inc. bought a new stake in Incyte in the second quarter worth about $2,044,189,000. Wellington Management Group LLP increased its stake in shares of Incyte by 9.5% during the 2nd quarter. Wellington Management Group LLP now owns 3,575,521 shares of the biopharmaceutical company's stock worth $405,321,000 after purchasing an additional 309,385 shares during the last quarter. Dimensional Fund Advisors LP increased its stake in shares of Incyte by 10.5% during the 1st quarter. Dimensional Fund Advisors LP now owns 1,975,544 shares of the biopharmaceutical company's stock worth $185,873,000 after purchasing an additional 187,354 shares during the last quarter. Legal & General Group Plc purchased a new stake in shares of Incyte during the 2nd quarter worth approximately $182,054,000. Finally, Pacer Advisors Inc. raised its holdings in shares of Incyte by 36.4% in the 4th quarter. Pacer Advisors Inc. now owns 1,703,271 shares of the biopharmaceutical company's stock worth $168,232,000 after purchasing an additional 454,629 shares during the period. Institutional investors own 96.97% of the company's stock.

Incyte Company Profile

Incyte Corporation is a biopharmaceutical company focused on discovering, developing and commercializing medicines for serious diseases, with an emphasis on oncology, hematology and inflammatory or dermatologic conditions. The company conducts research through internal programs and collaborations with academic institutions, biotechnology companies and pharmaceutical partners.

Incyte's marketed portfolio includes Jakafi (ruxolitinib), a JAK inhibitor used in the United States for certain myelofibrosis, polycythemia vera and graft-versus-host disease indications, and Opzelura (ruxolitinib) cream for certain inflammatory skin conditions.

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