Scholar Rock (NASDAQ:SRRK) Stock Price Expected to Rise, JPMorgan Chase & Co. Analyst Says

Key Points

• JPMorgan raised Scholar Rock’s price target from $63 to $70 and maintained an “overweight” rating, implying roughly 50% upside from the reported $46.65 share price.
• Analyst sentiment is generally positive but mixed: the stock has a consensus “Moderate Buy” rating and an average price target of $66.47, while Barclays downgraded it to “cautious” and Cantor Fitzgerald maintained a “neutral” view.
• Scholar Rock reported quarterly EPS of negative $0.84, in line with expectations, and analysts expect a full-year loss of approximately $3.24 per share. The company is developing apitegromab, a myostatin-targeting treatment candidate for spinal muscular atrophy.

Scholar Rock (NASDAQ:SRRK - Get Free Report) had its price objective hoisted by stock analysts at JPMorgan Chase & Co. from $63.00 to $70.00 in a note issued to investors on Monday, Benzinga reports. The firm presently has an "overweight" rating on the stock. JPMorgan Chase & Co.'s price target suggests a potential upside of 50.05% from the company's current price.

Other research analysts also recently issued research reports about the company. Barclays downgraded Scholar Rock from an "overweight" rating to a "cautious" rating in a research note on Tuesday, September 15th. Citigroup raised their price target on Scholar Rock from $60.00 to $74.00 and gave the stock a "buy" rating in a research note on Monday, September 14th. BMO Capital Markets lifted their price target on Scholar Rock from $76.00 to $84.00 and gave the company an "outperform" rating in a report on Monday, September 14th. Weiss Ratings reiterated a "sell (d-)" rating on shares of Scholar Rock in a report on Friday, July 17th. Finally, Cantor Fitzgerald reissued a "neutral" rating on shares of Scholar Rock in a research note on Monday. Four equities research analysts have rated the stock with a Strong Buy rating, eleven have issued a Buy rating, one has issued a Hold rating and two have assigned a Sell rating to the company's stock. According to data from MarketBeat.com, the company has an average rating of "Moderate Buy" and a consensus price target of $66.47.

Scholar Rock Price Performance

SRRK stock opened at $46.65 on Monday. The company has a 50 day moving average of $52.84 and a two-hundred day moving average of $49.67. The company has a market cap of $5.68 billion, a price-to-earnings ratio of -13.52 and a beta of 0.67. Scholar Rock has a 12-month low of $27.07 and a 12-month high of $61.76. The company has a quick ratio of 7.02, a current ratio of 7.02 and a debt-to-equity ratio of 0.77.

Scholar Rock (NASDAQ:SRRK - Get Free Report) last posted its quarterly earnings results on Thursday, August 6th. The company reported ($0.84) EPS for the quarter, meeting the consensus estimate of ($0.84). During the same quarter in the previous year, the firm earned ($0.98) EPS. On average, equities analysts anticipate that Scholar Rock will post -3.24 earnings per share for the current fiscal year.

Insiders Place Their Bets

In other Scholar Rock news, Director Katie Peng sold 5,446 shares of the firm's stock in a transaction dated Wednesday, July 1st. The stock was sold at an average price of $53.88, for a total transaction of $293,430.48. Following the transaction, the director directly owned 34,301 shares in the company, valued at $1,848,137.88. This trade represents a 13.70% decrease 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. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, Director Joshua Reed sold 3,053 shares of the business's stock in a transaction dated Wednesday, July 1st. The stock was sold at an average price of $53.74, for a total value of $164,068.22. Following the completion of the sale, the director directly owned 19,518 shares of the company's stock, valued at $1,048,897.32. This represents a 13.53% decrease in their position. The disclosure for this sale is available in the SEC filing. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Insiders have sold 17,149 shares of company stock worth $923,108 in the last 90 days. 10.30% of the stock is owned by corporate insiders.

Institutional Inflows and Outflows

Hedge funds have recently made changes to their positions in the stock. Engineers Gate Manager LP lifted its holdings in Scholar Rock by 211.3% in the 2nd quarter. Engineers Gate Manager LP now owns 23,933 shares of the company's stock worth $1,316,000 after purchasing an additional 16,245 shares during the last quarter. Integrated Wealth Concepts LLC acquired a new position in Scholar Rock during the second quarter valued at approximately $99,000. Squarepoint Ops LLC grew its holdings in Scholar Rock by 484.5% during the second quarter. Squarepoint Ops LLC now owns 291,996 shares of the company's stock valued at $16,060,000 after purchasing an additional 242,041 shares during the last quarter. Arizona State Retirement System raised its position in shares of Scholar Rock by 20.1% in the second quarter. Arizona State Retirement System now owns 20,605 shares of the company's stock valued at $1,133,000 after purchasing an additional 3,442 shares during the period. Finally, Nykredit A S bought a new position in shares of Scholar Rock in the second quarter valued at approximately $215,000. Institutional investors and hedge funds own 91.08% of the company's stock.

About Scholar Rock

Scholar Rock, Inc is a biopharmaceutical company focused on developing medicines that selectively target growth factors in their latent forms. The company's approach is designed to modulate the activation of growth factors in specific tissues, with the goal of addressing diseases in which these biological pathways contribute to impaired function or abnormal tissue growth.

Scholar Rock's lead program is apitegromab, a monoclonal antibody designed to inhibit the activation of myostatin. The company has studied apitegromab as a potential treatment for spinal muscular atrophy, a genetic neuromuscular disorder that causes progressive muscle weakness and loss of motor function.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.