NewAmsterdam Pharma (NASDAQ:NAMS) Stock Bumped Down to Sell by Wall Street Zen

Key Points

• Wall Street Zen downgraded NewAmsterdam Pharma from “hold” to “sell,” although broader analyst sentiment remains a “Moderate Buy” with a consensus price target of $48.90.
• NAMS shares opened at $19.71, near their 52-week low of $19.13, while the company reported a quarterly loss of $0.52 per share, missing estimates, despite revenue exceeding expectations.
• Insider activity was mixed: the CEO purchased 10,000 shares, while other insiders sold shares, and institutional investors own approximately 89.89% of the stock.

NewAmsterdam Pharma (NASDAQ:NAMS - Get Free Report) was downgraded by equities research analysts at Wall Street Zen from a "hold" rating to a "sell" rating in a research note issued to investors on Saturday, Wall Street Zen reports.

Several other research analysts also recently weighed in on NAMS. Weiss Ratings reissued a "sell (d-)" rating on shares of NewAmsterdam Pharma in a research report on Thursday, October 15th. HC Wainwright reiterated a "buy" rating and issued a $52.00 price objective on shares of NewAmsterdam Pharma in a research report on Tuesday, September 8th. BMO Capital Markets began coverage on NewAmsterdam Pharma in a research note on Monday, July 20th. They issued an "outperform" rating and a $58.00 price target for the company. Royal Bank Of Canada reduced their price target on shares of NewAmsterdam Pharma from $50.00 to $42.00 and set an "outperform" rating for the company in a report on Monday, October 5th. Finally, Jefferies Financial Group restated a "buy" rating and issued a $45.00 price objective on shares of NewAmsterdam Pharma in a report on Monday, July 20th. One research analyst has rated the stock with a Strong Buy rating, nine have given a Buy rating, one has issued a Hold rating and one has issued a Sell rating to the company's stock. According to data from MarketBeat, NewAmsterdam Pharma has a consensus rating of "Moderate Buy" and a consensus price target of $48.90.

NewAmsterdam Pharma Price Performance

Shares of NAMS opened at $19.71 on Friday. NewAmsterdam Pharma has a 1-year low of $19.13 and a 1-year high of $42.21. The firm has a 50-day simple moving average of $23.54 and a two-hundred day simple moving average of $29.21. The stock has a market cap of $2.36 billion, a PE ratio of -9.12 and a beta of 0.10.

NewAmsterdam Pharma (NASDAQ:NAMS - Get Free Report) last released its quarterly earnings data on Wednesday, August 5th. The company reported ($0.52) EPS for the quarter, missing the consensus estimate of ($0.48) by ($0.04). NewAmsterdam Pharma had a negative return on equity of 34.81% and a negative net margin of 3,644.21%. The business had revenue of $3.70 million during the quarter, compared to analysts' expectations of $2.83 million. As a group, sell-side analysts expect that NewAmsterdam Pharma will post -1.82 earnings per share for the current fiscal year.

Insider Buying and Selling

In related news, CEO Michael Davidson bought 10,000 shares of the stock in a transaction that occurred on Monday, September 14th. The stock was acquired at an average cost of $22.65 per share, with a total value of $226,500.00. Following the transaction, the chief executive officer directly owned 792,923 shares in the company, valued at approximately $17,959,705.95. This trade represents a 1.28% increase in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at the SEC website. Also, insider Johannes Kastelein sold 50,246 shares of the stock in a transaction dated Wednesday, September 30th. The shares were sold at an average price of $25.03, for a total value of $1,257,657.38. Following the completion of the sale, the insider directly owned 69,302 shares of the company's stock, valued at approximately $1,734,629.06. The trade was a 42.03% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders have sold a total of 176,846 shares of company stock valued at $4,661,919 over the last 90 days. 12.74% of the stock is owned by insiders.

Institutional Investors Weigh In On NewAmsterdam Pharma

A number of hedge funds have recently made changes to their positions in NAMS. Frazier Life Sciences Management L.P. lifted its position in NewAmsterdam Pharma by 6.8% during the second quarter. Frazier Life Sciences Management L.P. now owns 18,088,902 shares of the company's stock valued at $613,033,000 after purchasing an additional 1,145,128 shares during the period. Bank of America Corp DE lifted its holdings in NewAmsterdam Pharma by 84.4% in the 1st quarter. Bank of America Corp DE now owns 847,089 shares of the company's stock worth $27,115,000 after purchasing an additional 387,698 shares in the last quarter. Maverick Capital Ltd. lifted its stake in NewAmsterdam Pharma by 15.4% in the 1st quarter. Maverick Capital Ltd. now owns 2,186,402 shares of the company's stock worth $69,987,000 after purchasing an additional 292,176 shares in the last quarter. SEB Asset Management AB bought a new stake in shares of NewAmsterdam Pharma in the first quarter worth about $8,728,000. Finally, Peregrine Capital Management LLC purchased a new stake in shares of NewAmsterdam Pharma in the first quarter worth about $5,714,000. 89.89% of the stock is currently owned by institutional investors.

About NewAmsterdam Pharma

NewAmsterdam Pharma NASDAQ: NAMS is a clinical-stage biopharmaceutical company focused on developing therapies for cardiometabolic diseases. The company's primary investigational product is obicetrapib, an oral, low-dose cholesteryl ester transfer protein (CETP) inhibitor designed to reduce low-density lipoprotein cholesterol and potentially address residual cardiovascular risk in patients who remain inadequately controlled on existing treatments.

NewAmsterdam is evaluating obicetrapib in late-stage clinical studies involving patients with dyslipidemia, including individuals with heterozygous familial hypercholesterolemia and patients who are unable to reach cholesterol goals with currently available therapies.

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