Tarsus Pharmaceuticals (NASDAQ:TARS) Stock Rating Upgraded by Jefferies Financial Group

Key Points

• Jefferies upgraded Tarsus Pharmaceuticals to “strong buy,” while the broader analyst consensus remains “moderate buy” with an average price target of $90.50.
• Tarsus shares rose 9.1% to open at $90.78, near their 52-week high of $91.53, despite the company reporting a quarterly EPS loss of $0.43 that missed estimates, while revenue exceeded expectations.
• The completed acquisition of Alkeus adds ALK-001, a Phase 3 investigational treatment for Stargardt disease, expanding Tarsus’ ophthalmology pipeline; topline trial data are not expected until 2029.

Tarsus Pharmaceuticals (NASDAQ:TARS - Get Free Report) was upgraded by Jefferies Financial Group to a "strong-buy" rating in a research report issued to clients and investors on Friday, Zacks reports.

A number of other analysts have also recently issued reports on TARS. Mizuho cut their target price on shares of Tarsus Pharmaceuticals from $100.00 to $98.00 and set an "outperform" rating for the company in a research note on Friday, July 31st. HC Wainwright reissued a "buy" rating and issued a $88.00 price objective on shares of Tarsus Pharmaceuticals in a report on Thursday, July 9th. Wall Street Zen lowered shares of Tarsus Pharmaceuticals from a "buy" rating to a "hold" rating in a research report on Sunday, July 12th. Guggenheim lowered their target price on shares of Tarsus Pharmaceuticals from $90.00 to $89.00 and set a "buy" rating on the stock in a report on Tuesday, July 21st. Finally, Weiss Ratings reiterated a "sell (d-)" rating on shares of Tarsus Pharmaceuticals in a research report on Friday, July 17th. Three research analysts have rated the stock with a Strong Buy rating, four have issued a Buy rating, two have given a Hold rating and one has given a Sell rating to the stock. According to MarketBeat, the company currently has a consensus rating of "Moderate Buy" and a consensus target price of $90.50.

Tarsus Pharmaceuticals Trading Up 9.1%

TARS opened at $90.78 on Friday. The firm has a 50-day moving average price of $66.01 and a two-hundred day moving average price of $65.93. Tarsus Pharmaceuticals has a 1-year low of $48.20 and a 1-year high of $91.53. The company has a current ratio of 3.20, a quick ratio of 3.17 and a debt-to-equity ratio of 0.21. The stock has a market capitalization of $3.98 billion, a PE ratio of -83.28 and a beta of 0.54.

Tarsus Pharmaceuticals (NASDAQ:TARS - Get Free Report) last released its earnings results on Thursday, August 6th. The company reported ($0.43) EPS for the quarter, missing the consensus estimate of ($0.19) by ($0.24). The firm had revenue of $173.91 million during the quarter, compared to the consensus estimate of $169.65 million. Tarsus Pharmaceuticals had a negative net margin of 7.67% and a negative return on equity of 13.53%. As a group, equities analysts anticipate that Tarsus Pharmaceuticals will post -2.06 earnings per share for the current fiscal year.

Insider Activity

In other Tarsus Pharmaceuticals news, Director William Link, PhD sold 12,500 shares of the firm's stock in a transaction on Monday, June 15th. The shares were sold at an average price of $62.12, for a total value of $776,500.00. Following the transaction, the director directly owned 106,786 shares of the company's stock, valued at approximately $6,633,546.32. This trade represents a 10.48% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Katherine Goodrich sold 2,954 shares of the firm's stock in a transaction on Monday, June 15th. The shares were sold at an average price of $62.08, for a total value of $183,384.32. Following the transaction, the director owned 2,233 shares in the company, valued at approximately $138,624.64. This trade represents a 56.95% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last 90 days, insiders have sold 51,428 shares of company stock valued at $3,350,810. Corporate insiders own 9.64% of the company's stock.

Institutional Investors Weigh In On Tarsus Pharmaceuticals

Hedge funds and other institutional investors have recently bought and sold shares of the business. Rockefeller Capital Management L.P. lifted its holdings in Tarsus Pharmaceuticals by 15.5% during the 4th quarter. Rockefeller Capital Management L.P. now owns 1,283 shares of the company's stock worth $105,000 after purchasing an additional 172 shares in the last quarter. Parallel Advisors LLC increased its holdings in Tarsus Pharmaceuticals by 139.2% during the 1st quarter. Parallel Advisors LLC now owns 500 shares of the company's stock worth $35,000 after acquiring an additional 291 shares during the period. State of Wisconsin Investment Board grew its holdings in shares of Tarsus Pharmaceuticals by 1.1% during the fourth quarter. State of Wisconsin Investment Board now owns 31,912 shares of the company's stock worth $2,613,000 after purchasing an additional 332 shares in the last quarter. Federated Hermes Inc. grew its stake in Tarsus Pharmaceuticals by 0.6% in the 2nd quarter. Federated Hermes Inc. now owns 55,021 shares of the company's stock worth $2,229,000 after buying an additional 339 shares in the last quarter. Finally, Valeo Financial Advisors LLC increased its stake in Tarsus Pharmaceuticals by 11.1% in the fourth quarter. Valeo Financial Advisors LLC now owns 3,915 shares of the company's stock valued at $321,000 after acquiring an additional 392 shares during the last quarter. Institutional investors own 90.01% of the company's stock.

Key Headlines Impacting Tarsus Pharmaceuticals

Here are the key news stories impacting Tarsus Pharmaceuticals this week:

• Positive Sentiment: Tarsus completed its acquisition of Alkeus, obtaining worldwide rights to gildeuretinol (ALK-001), an investigational once-daily oral treatment for Stargardt disease. The rare inherited eye disease has no FDA-approved therapy and may affect up to 86,000 people in the United States. Tarsus completes Alkeus acquisition
• Positive Sentiment: ALK-001 is being evaluated in the global NORTHSTAR Phase 3 trial and has received FDA Breakthrough Therapy, Orphan Drug, Fast Track and Rare Pediatric Disease designations. The regulatory designations and potential to address a significant unmet need strengthen Tarsus’ pipeline, although topline trial data are not expected until 2029. Alkeus acquisition adds Phase 3 program
• Positive Sentiment: Newly published TEASE-1 results showed that daily gildeuretinol significantly reduced the growth rate of retinal atrophic lesions versus an untreated group and was well tolerated, with no reported delays in dark adaptation or night blindness. TEASE-1 study results
• Neutral Sentiment: The acquisition expands Tarsus beyond its commercial XDEMVY business and supports management’s strategy of building a broader eye-care company. However, the transaction’s financial terms and the ultimate commercial value of ALK-001 were not detailed in the reports.
• Negative Sentiment: Insider Elizabeth Lin reported multiple sales totaling approximately $898,000 across September 1–2 under a pre-arranged Rule 10b5-1 trading plan. While such planned transactions may not reflect current management views, the sales add a modest cautionary signal for investors.

About Tarsus Pharmaceuticals

Tarsus Pharmaceuticals, Inc is a clinical‐stage biopharmaceutical company focused on developing novel therapies for diseases of the eye and ocular surface. The company's research platform centers on neuro‐effector modulation to address underlying disease mechanisms rather than solely treating symptoms. Tarsus's lead candidate, OC-01 (varenicline solution), is an intranasal formulation in Phase 3 development for the treatment of dry eye disease, a condition affecting millions worldwide and associated with significant patient discomfort and reduced quality of life.

In addition to its dry eye program, Tarsus is advancing preclinical and early‐stage programs targeting other ophthalmic indications, including allergic conjunctivitis and retinal disorders.

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.

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