Ultragenyx Pharmaceutical (NASDAQ:RARE) Rating Lowered to "Hold" at Royal Bank Of Canada

Key Points

• Royal Bank of Canada downgraded Ultragenyx Pharmaceutical to “Hold” from “Moderate Buy,” while several other analysts also lowered ratings and price targets. Despite the caution, the overall consensus remains “Moderate Buy” with a target price of $37.53.
• RARE shares opened at $14.85, near their 52-week low of $13.81 and well below the 52-week high of $39.89. The stock’s market capitalization is approximately $1.46 billion.
• The company’s Phase 3 Aspire trial for apazunersen failed to meet its primary and key secondary endpoints, raising concerns about the drug’s prospects, pipeline concentration, future growth and cash burn.

Ultragenyx Pharmaceutical (NASDAQ:RARE - Get Free Report) was downgraded by Royal Bank Of Canada from a "moderate buy" rating to a "hold" rating in a research note issued on Thursday, Zacks reports.

Several other research analysts have also recently weighed in on the company. William Blair cut Ultragenyx Pharmaceutical from an "outperform" rating to a "market perform" rating in a research report on Thursday. Cantor Fitzgerald decreased their price target on Ultragenyx Pharmaceutical from $103.00 to $33.00 and set an "overweight" rating for the company in a report on Thursday. JPMorgan Chase & Co. lowered Ultragenyx Pharmaceutical from an "overweight" rating to a "neutral" rating and lowered their price objective for the stock from $80.00 to $36.00 in a research report on Thursday. Guggenheim dropped their price objective on shares of Ultragenyx Pharmaceutical from $43.00 to $35.00 and set a "buy" rating on the stock in a research note on Tuesday, August 4th. Finally, Wells Fargo & Company lowered shares of Ultragenyx Pharmaceutical from an "overweight" rating to an "equal weight" rating and cut their target price for the company from $50.00 to $18.00 in a report on Thursday. One investment analyst has rated the stock with a Strong Buy rating, ten have assigned a Buy rating, nine have issued a Hold rating and one has given a Sell rating to the company. According to data from MarketBeat, the stock presently has a consensus rating of "Moderate Buy" and a consensus target price of $37.53.

Ultragenyx Pharmaceutical Stock Performance

Shares of RARE opened at $14.85 on Thursday. The business's 50-day moving average is $28.07 and its two-hundred day moving average is $25.04. The company has a market capitalization of $1.46 billion, a P/E ratio of -2.54 and a beta of 0.31. Ultragenyx Pharmaceutical has a fifty-two week low of $13.81 and a fifty-two week high of $39.89.

Ultragenyx Pharmaceutical (NASDAQ:RARE - Get Free Report) last released its quarterly earnings data on Tuesday, August 4th. The biopharmaceutical company reported ($0.90) earnings per share for the quarter, beating analysts' consensus estimates of ($1.22) by $0.32. The business had revenue of $214.00 million during the quarter, compared to analyst estimates of $183.08 million. Ultragenyx Pharmaceutical had a negative return on equity of 1,024.42% and a negative net margin of 81.79%.The company's revenue was up 28.5% on a year-over-year basis. During the same quarter last year, the business posted ($1.17) EPS. Analysts forecast that Ultragenyx Pharmaceutical will post -3.97 EPS for the current year.

Insider Activity

In other news, Director Corazon (Corsee) D. Sanders sold 2,000 shares of the business's stock in a transaction that occurred on Monday, June 15th. The stock was sold at an average price of $25.05, for a total value of $50,100.00. Following the completion of the sale, the director directly owned 21,095 shares in the company, valued at $528,429.75. The trade was a 8.66% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through this link. Also, EVP Karah Parschauer sold 1,899 shares of the stock in a transaction that occurred on Monday, June 15th. The shares were sold at an average price of $24.62, for a total value of $46,753.38. Following the transaction, the executive vice president owned 94,462 shares in the company, valued at $2,325,654.44. This trade represents a 1.97% decrease in their position. The disclosure for this sale is available in the SEC filing. 5.20% of the stock is owned by insiders.

Hedge Funds Weigh In On Ultragenyx Pharmaceutical

Several hedge funds and other institutional investors have recently added to or reduced their stakes in RARE. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC raised its position in shares of Ultragenyx Pharmaceutical by 14.8% during the 1st quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 232,360 shares of the biopharmaceutical company's stock worth $8,414,000 after purchasing an additional 29,984 shares during the last quarter. Creative Planning purchased a new stake in Ultragenyx Pharmaceutical during the 2nd quarter worth approximately $454,000. American Century Companies Inc. acquired a new position in shares of Ultragenyx Pharmaceutical during the second quarter valued at approximately $366,000. M&T Bank Corp lifted its position in shares of Ultragenyx Pharmaceutical by 19.7% in the second quarter. M&T Bank Corp now owns 7,232 shares of the biopharmaceutical company's stock valued at $263,000 after acquiring an additional 1,192 shares in the last quarter. Finally, Amundi boosted its stake in shares of Ultragenyx Pharmaceutical by 1,560.4% in the second quarter. Amundi now owns 99,161 shares of the biopharmaceutical company's stock worth $3,913,000 after acquiring an additional 93,189 shares during the last quarter. 97.67% of the stock is owned by hedge funds and other institutional investors.

Ultragenyx Pharmaceutical News Roundup

Here are the key news stories impacting Ultragenyx Pharmaceutical this week:

• Positive Sentiment: Several analysts still see potential value after the selloff. Jefferies, Citi, TD Cowen, Canaccord, Cantor Fitzgerald and HC Wainwright retained buy or overweight ratings, although they substantially reduced their price targets. Ultragenyx stock downgraded trial setback
• Positive Sentiment: Ultragenyx’s commercial rare-disease portfolio remains an important potential support for the business, and commentary highlighted the possibility that the company could recover if marketed products continue to grow. Ultragenyx Stock Sinks on Drug Trial Failure
• Positive Sentiment: Unusually heavy call-option activity and speculative comments that Ultragenyx could become a takeover target, including by larger rare-disease companies, offered a possible source of near-term support but do not represent confirmed corporate activity.
• Neutral Sentiment: Analyst views became sharply more cautious: Wells Fargo, JPMorgan, Baird, Evercore, William Blair and Bank of America downgraded the stock or moved to more conservative ratings. Revised targets ranged from $16 to $37, indicating significant uncertainty despite implied upside from the recent price.
• Neutral Sentiment: Management is expected to evaluate “significant” cost reductions and reconsider the future of the Angelman syndrome program, which could preserve cash but also reduce research investment. Ultragenyx to weigh significant cost cuts
• Negative Sentiment: The Aspire study failed to achieve both its primary endpoint—change in Bayley-4 cognitive raw score—and key secondary endpoint, the Multidomain Responder Index. The results place apazunersen’s regulatory and commercial prospects in serious doubt. Ultragenyx Announces Phase 3 Aspire Results
• Negative Sentiment: The late-stage failure triggered a broad analyst reset and raised concerns about Ultragenyx’s pipeline concentration, future revenue growth and continued cash burn. Ultragenyx shares crater after Angelman syndrome drug fails

About Ultragenyx Pharmaceutical

Ultragenyx Pharmaceutical Inc is a biopharmaceutical company focused on developing and commercializing therapies for rare and ultra-rare genetic disorders. Since its founding in 2010 and headquarters in Novato, California, the company has built expertise in protein replacement therapies, small molecules and gene therapy approaches to address high-unmet medical needs. Ultragenyx applies a precision medicine model, leveraging both in-house research and strategic collaborations to advance its product pipeline from discovery through regulatory approval.

The company's commercial portfolio includes Crysvita (burosumab-tmyl) for X-linked hypophosphatemia, Mepsevii (vestronidase alfa-vjbk) for mucopolysaccharidosis VII and Dojolvi (triheptanoin) for long-chain fatty acid oxidation 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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