Royal Bank Of Canada Has Lowered Expectations for Legend Biotech (NASDAQ:LEGN) Stock Price

Key Points

• Royal Bank of Canada lowered Legend Biotech’s price target from $58 to $56 but maintained an “outperform” rating, implying substantial upside from the prior close.
• Analyst sentiment remains generally positive, with a consensus “Moderate Buy” rating and an average price target of $55.64, despite some downgrades to “hold.”
• Legend Biotech shares fell 4.8% to $18.21, while the company’s latest quarterly results exceeded expectations: EPS was $0.09 versus $0.07 expected, and revenue rose 51.9% year over year to $387.5 million.

Legend Biotech (NASDAQ:LEGN - Get Free Report) had its price target lowered by Royal Bank Of Canada from $58.00 to $56.00 in a research note issued on Thursday, Benzinga reports. The brokerage presently has an "outperform" rating on the stock. Royal Bank Of Canada's target price indicates a potential upside of 207.59% from the company's previous close.

Other research analysts have also issued reports about the company. TD Cowen reduced their price target on Legend Biotech from $29.00 to $24.00 and set a "hold" rating on the stock in a research report on Wednesday, August 12th. Benchmark reissued a "buy" rating on shares of Legend Biotech in a research note on Tuesday, July 28th. HC Wainwright restated a "buy" rating and set a $65.00 target price on shares of Legend Biotech in a report on Monday, September 28th. Morgan Stanley set a $65.00 target price on Legend Biotech in a research report on Friday, September 4th. Finally, Weiss Ratings raised Legend Biotech from a "sell (e+)" rating to a "sell (d-)" rating in a research note on Friday, October 2nd. Nine analysts have rated the stock with a Buy rating, five have given a Hold rating and one has assigned a Sell rating to the company's stock. Based on data from MarketBeat, the company has a consensus rating of "Moderate Buy" and a consensus price target of $55.64.

Legend Biotech Trading Down 4.8%

Shares of LEGN traded down $0.91 on Thursday, reaching $18.21. 258,236 shares of the company's stock were exchanged, compared to its average volume of 2,418,103. The business has a 50 day moving average price of $19.82 and a two-hundred day moving average price of $23.59. Legend Biotech has a 12 month low of $16.24 and a 12 month high of $37.50. The stock has a market capitalization of $3.53 billion, a P/E ratio of -72.89 and a beta of 0.57.

Legend Biotech (NASDAQ:LEGN - Get Free Report) last announced its quarterly earnings data on Tuesday, August 11th. The company reported $0.09 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $0.07 by $0.02. The firm had revenue of $387.50 million for the quarter, compared to analysts' expectations of $355.96 million. Legend Biotech had a negative net margin of 7.21% and a negative return on equity of 8.71%. The business's revenue for the quarter was up 51.9% on a year-over-year basis. During the same period last year, the firm earned $0.03 earnings per share. Equities research analysts predict that Legend Biotech will post -0.09 EPS for the current year.

Insider Buying and Selling

In related news, Director Corazon (Corsee) D. Sanders sold 27,370 shares of the stock in a transaction that occurred on Tuesday, September 29th. The stock was sold at an average price of $9.46, for a total transaction of $258,920.20. Following the completion of the sale, the director directly owned 52,731 shares of the company's stock, valued at approximately $498,835.26. This represents a 34.17% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Also, CFO Carlos Santos sold 5,430 shares of the firm's stock in a transaction that occurred on Monday, September 21st. The stock was sold at an average price of $9.14, for a total transaction of $49,630.20. Following the sale, the chief financial officer owned 14,246 shares in the company, valued at $130,208.44. This trade represents a 27.60% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. 0.02% of the stock is currently owned by corporate insiders.

Institutional Investors Weigh In On Legend Biotech

Several institutional investors have recently added to or reduced their stakes in LEGN. Tidal Investments LLC raised its stake in shares of Legend Biotech by 34.0% in the 2nd quarter. Tidal Investments LLC now owns 240,476 shares of the company's stock valued at $6,945,000 after purchasing an additional 61,023 shares during the period. Squarepoint Ops LLC raised its position in Legend Biotech by 60.4% in the 2nd quarter. Squarepoint Ops LLC now owns 769,252 shares of the company's stock valued at $22,216,000 after buying an additional 289,772 shares during the last quarter. Nykredit A S acquired a new stake in Legend Biotech in the 2nd quarter valued at approximately $162,000. Allianz Asset Management GmbH bought a new stake in Legend Biotech in the 2nd quarter valued at approximately $549,000. Finally, Corient Private Wealth LP acquired a new position in Legend Biotech during the 2nd quarter worth approximately $436,000. 70.89% of the stock is owned by institutional investors.

About Legend Biotech

Legend Biotech Corporation NASDAQ: LEGN is a biotechnology company focused on developing, manufacturing and commercializing cell therapies for cancer and other serious diseases. Its research centers on chimeric antigen receptor T-cell (CAR-T) therapies, which use genetically modified immune cells to recognize and attack cancer cells.

The company's leading product is Carvykti (ciltacabtagene autoleucel), a B-cell maturation antigen (BCMA)-directed CAR-T therapy for certain adults with relapsed or refractory multiple myeloma.

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