Morgan Stanley Has Lowered Expectations for ACADIA Pharmaceuticals (NASDAQ:ACAD) Stock Price

Key Points

• Morgan Stanley lowered its ACADIA price target from $28 to $24 and maintained an “equal weight” rating; the new target implies 31.5% upside from the share price cited in the report.
• Analyst sentiment remains broadly positive: 13 analysts rate ACAD a Buy and five a Hold, for a “Moderate Buy” consensus and an average price target of $31.34.
• ACADIA beat quarterly estimates, reporting EPS of $0.31 versus $0.20 expected and revenue of $342.3 million; revenue increased 22.8% year over year.

ACADIA Pharmaceuticals (NASDAQ:ACAD - Get Free Report) had its target price reduced by equities research analysts at Morgan Stanley from $28.00 to $24.00 in a research note issued on Friday, Benzinga reports. The firm presently has an "equal weight" rating on the biopharmaceutical company's stock. Morgan Stanley's price objective would suggest a potential upside of 31.51% from the company's current price.

A number of other analysts also recently commented on ACAD. Royal Bank Of Canada increased their price objective on shares of ACADIA Pharmaceuticals from $36.00 to $38.00 and gave the company an "outperform" rating in a report on Thursday, November 5th. Oppenheimer restated a "market perform" rating on shares of ACADIA Pharmaceuticals in a report on Wednesday, September 23rd. Canaccord Genuity Group upped their price target on ACADIA Pharmaceuticals from $36.00 to $38.00 and gave the company a "buy" rating in a research report on Friday, November 6th. Bank of America reaffirmed a "buy" rating and issued a $14.50 price target on shares of ACADIA Pharmaceuticals in a report on Wednesday, July 29th. Finally, BMO Capital Markets cut their price target on ACADIA Pharmaceuticals from $36.00 to $34.00 and set an "outperform" rating for the company in a report on Thursday, September 24th. Thirteen equities research analysts have rated the stock with a Buy rating and five have given a Hold rating to the company's stock. According to data from MarketBeat, ACADIA Pharmaceuticals presently has an average rating of "Moderate Buy" and a consensus price target of $31.34.

ACADIA Pharmaceuticals Stock Performance

Shares of ACAD traded up $0.11 during trading hours on Friday, hitting $18.25. 414,240 shares of the stock were exchanged, compared to its average volume of 1,817,857. The stock's 50-day moving average price is $21.97 and its two-hundred day moving average price is $23.41. ACADIA Pharmaceuticals has a 12-month low of $15.85 and a 12-month high of $30.96. The company has a market cap of $3.15 billion, a price-to-earnings ratio of 8.65 and a beta of 0.87.

ACADIA Pharmaceuticals (NASDAQ:ACAD - Get Free Report) last announced its earnings results on Wednesday, November 4th. The biopharmaceutical company reported $0.31 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.20 by $0.11. ACADIA Pharmaceuticals had a net margin of 30.13% and a return on equity of 8.90%. The company had revenue of $342.30 million for the quarter, compared to analysts' expectations of $332.58 million. During the same quarter in the previous year, the company posted $0.42 EPS. The firm's quarterly revenue was up 22.8% on a year-over-year basis. On average, research analysts expect that ACADIA Pharmaceuticals will post 0.76 earnings per share for the current year.

Insider Activity at ACADIA Pharmaceuticals

In related news, EVP Mark Schneyer sold 3,321 shares of the company's stock in a transaction that occurred on Friday, October 30th. The stock was sold at an average price of $20.88, for a total value of $69,342.48. Following the transaction, the executive vice president directly owned 71,322 shares in the company, valued at approximately $1,489,203.36. This represents a 4.45% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is accessible through this link. Insiders own 26.20% of the company's stock.

Institutional Investors Weigh In On ACADIA Pharmaceuticals

A number of institutional investors and hedge funds have recently added to or reduced their stakes in ACAD. First Trust Advisors LP lifted its stake in ACADIA Pharmaceuticals by 53.5% during the 3rd quarter. First Trust Advisors LP now owns 283,029 shares of the biopharmaceutical company's stock worth $5,703,000 after acquiring an additional 98,643 shares in the last quarter. Ieq Capital LLC grew its position in ACADIA Pharmaceuticals by 46.3% in the 3rd quarter. Ieq Capital LLC now owns 23,991 shares of the biopharmaceutical company's stock valued at $483,000 after acquiring an additional 7,597 shares in the last quarter. Meeder Asset Management Inc. acquired a new position in ACADIA Pharmaceuticals in the 3rd quarter valued at about $40,000. Voya Investment Management LLC increased its stake in ACADIA Pharmaceuticals by 197.0% during the third quarter. Voya Investment Management LLC now owns 243,262 shares of the biopharmaceutical company's stock worth $4,902,000 after purchasing an additional 161,342 shares during the period. Finally, Public Sector Pension Investment Board increased its stake in ACADIA Pharmaceuticals by 25.1% during the third quarter. Public Sector Pension Investment Board now owns 544,617 shares of the biopharmaceutical company's stock worth $10,097,000 after purchasing an additional 109,242 shares during the period. Hedge funds and other institutional investors own 96.71% of the company's stock.

About ACADIA Pharmaceuticals

ACADIA Pharmaceuticals is a biopharmaceutical company focused on developing and commercializing medicines for neurological and rare diseases. Founded in 1993 and headquartered in San Diego, California, the company conducts research and development alongside its commercial operations. Its marketed products include NUPLAZID (pimavanserin), approved in the United States to treat hallucinations and delusions associated with Parkinson's disease psychosis, and DAYBUE (trofinetide), a treatment for Rett syndrome.

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