Nektar Therapeutics (NASDAQ:NKTR) Rating Lowered to "Sell" at Wall Street Zen

Key Points

• Wall Street Zen downgraded Nektar Therapeutics from “hold” to “sell,” although analysts overall maintain a “Moderate Buy” consensus and a $130.67 average price target.
• Nektar’s quarterly loss per share was narrower than expected, but revenue fell short of estimates; the company also reported a wider year-over-year net loss and higher R&D expenses.
• The company has started all three Phase 3 trials of rezpegaldesleukin for atopic dermatitis and reported $952.9 million in cash and marketable securities, but initial Phase 3 data are not expected until mid-2028.

Nektar Therapeutics (NASDAQ:NKTR - Get Free Report) was downgraded by analysts at Wall Street Zen from a "hold" rating to a "sell" rating in a research report issued to clients and investors on Saturday, Wall Street Zen reports.

Other research analysts have also recently issued reports about the stock. TD Cowen upgraded shares of Nektar Therapeutics to a "strong-buy" rating in a report on Monday, August 24th. Raymond James Financial initiated coverage on shares of Nektar Therapeutics in a research note on Friday, October 9th. They issued a "market perform" rating on the stock. Canaccord Genuity Group initiated coverage on shares of Nektar Therapeutics in a report on Wednesday, July 22nd. They set a "buy" rating and a $153.00 price objective for the company. UBS Group assumed coverage on shares of Nektar Therapeutics in a research report on Monday, October 12th. They issued a "neutral" rating and a $53.00 price objective for the company. Finally, HC Wainwright reissued a "buy" rating and issued a $185.00 price objective on shares of Nektar Therapeutics in a research report on Friday, October 2nd. One research analyst has rated the stock with a Strong Buy rating, ten have given a Buy rating, four have given a Hold rating and one has assigned a Sell rating to the stock. According to data from MarketBeat, the stock presently has a consensus rating of "Moderate Buy" and a consensus target price of $130.67.

Nektar Therapeutics Stock Up 0.1%

NKTR opened at $37.27 on Friday. The business has a fifty day moving average of $48.47 and a 200 day moving average of $64.54. The stock has a market cap of $1.27 billion, a P/E ratio of -5.77 and a beta of 1.44. Nektar Therapeutics has a 52-week low of $33.40 and a 52-week high of $109.00.

Nektar Therapeutics (NASDAQ:NKTR - Get Free Report) last released its earnings results on Thursday, November 12th. The biopharmaceutical company reported ($1.63) earnings per share for the quarter, topping analysts' consensus estimates of ($2.07) by $0.44. Nektar Therapeutics had a negative return on equity of 33.89% and a negative net margin of 339.67%. The business had revenue of $9.39 million for the quarter, compared to analyst estimates of $10.27 million. Equities analysts anticipate that Nektar Therapeutics will post -8.08 EPS for the current fiscal year.

Insiders Place Their Bets

In other Nektar Therapeutics news, CEO Howard Robin sold 418 shares of Nektar Therapeutics stock in a transaction on Tuesday, August 18th. The stock was sold at an average price of $71.98, for a total transaction of $30,087.64. Following the completion of the sale, the chief executive officer directly owned 54,627 shares of the company's stock, valued at $3,932,051.46. The trade was a 0.76% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available at this hyperlink. The sale was made to cover tax withholding obligations related to the vesting of equity awards. 2.50% of the stock is currently owned by company insiders.

Hedge Funds Weigh In On Nektar Therapeutics

A number of hedge funds and other institutional investors have recently made changes to their positions in the company. Readystate Asset Management LP purchased a new position in Nektar Therapeutics during the 2nd quarter valued at about $5,942,000. WINTON GROUP Ltd lifted its position in shares of Nektar Therapeutics by 53.2% in the 2nd quarter. WINTON GROUP Ltd now owns 25,900 shares of the biopharmaceutical company's stock worth $1,808,000 after purchasing an additional 8,990 shares during the period. Orbimed Advisors LLC purchased a new stake in shares of Nektar Therapeutics in the 1st quarter worth approximately $19,786,000. Two Seas Capital LP lifted its position in shares of Nektar Therapeutics by 8.2% in the 3rd quarter. Two Seas Capital LP now owns 3,345,978 shares of the biopharmaceutical company's stock worth $202,582,000 after purchasing an additional 253,744 shares during the period. Finally, Iridian Asset Management LLC CT lifted its position in shares of Nektar Therapeutics by 144.1% in the 3rd quarter. Iridian Asset Management LLC CT now owns 94,697 shares of the biopharmaceutical company's stock worth $5,733,000 after purchasing an additional 55,895 shares during the period. Institutional investors own 75.88% of the company's stock.

Key Headlines Impacting Nektar Therapeutics

Investors following NKTR have been watching these headlines:

• Positive Sentiment: Nektar’s loss of $1.63 per share was narrower than analysts’ estimates. The company also said it had initiated all three Phase 3 ZENITH trials for rezpegaldesleukin in atopic dermatitis, with an alopecia areata trial planned for December. Zacks Q3 results and outlook
• Positive Sentiment: The company reported $952.9 million in cash and marketable securities at quarter-end, providing resources to advance its clinical programs. Nektar Q3 financial results
• Negative Sentiment: The net loss widened to $55.7 million from $35.5 million a year ago, while research and development expenses increased. Initial Phase 3 atopic dermatitis data are not expected until mid-2028, leaving a lengthy wait for a major clinical catalyst. Q3 loss and pipeline update

Nektar Therapeutics Company Profile

Nektar Therapeutics is a clinical-stage biopharmaceutical company based in San Francisco, California. It discovers and develops medicines, with a current focus on treatments for autoimmune and inflammatory diseases. Its lead investigational program, rezpegaldesleukin (REZPEG), is designed to stimulate regulatory T cells, which help regulate immune responses. Nektar is studying the candidate in clinical trials for immune-mediated conditions; it is not an approved medicine. Founded in 1990 as Inhale Therapeutic Systems, the company later adopted the Nektar name as it expanded its drug-development work.

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