Apellis Pharmaceuticals (NASDAQ:APLS) Given Neutral Rating at Citigroup

Key Points

• Biogen agreed to acquire Apellis for $41.00 in cash per share plus a CVR that could add up to $4 per share on Syfovre sales milestones, a deal cited as the primary catalyst for the recent sharp rise in APLS shares.
• Citigroup reissued a "neutral" rating with a $41.00 target (down from $44), implying only ~1.5% upside, while analysts remain mixed — 10 Buy, 10 Hold, 2 Sell — and the MarketBeat consensus is a "Hold" with a $31.89 target.
• Apellis reported quarterly EPS of $0.47 versus an expected ($0.39) and revenue of $199.9M (down 5.9% YoY), even as insiders have sold shares and the stock trades near its 12‑month high around $40.40.

Apellis Pharmaceuticals (NASDAQ:APLS - Get Free Report)'s stock had its "neutral" rating reissued by equities researchers at Citigroup in a research report issued to clients and investors on Wednesday,Benzinga reports. They currently have a $41.00 target price on the stock, down from their previous target price of $44.00. Citigroup's target price would suggest a potential upside of 1.52% from the company's current price.

A number of other analysts have also weighed in on the stock. Mizuho raised their price target on shares of Apellis Pharmaceuticals from $19.00 to $20.00 and gave the company a "neutral" rating in a report on Thursday, March 5th. The Goldman Sachs Group restated a "sell" rating and set a $19.00 target price on shares of Apellis Pharmaceuticals in a research report on Monday, January 12th. Weiss Ratings reiterated a "sell (d)" rating on shares of Apellis Pharmaceuticals in a report on Monday, December 29th. Wells Fargo & Company lowered their price objective on Apellis Pharmaceuticals from $29.00 to $26.00 and set an "overweight" rating for the company in a research report on Tuesday, January 20th. Finally, Barclays began coverage on Apellis Pharmaceuticals in a report on Wednesday, January 28th. They set an "equal weight" rating and a $24.00 price objective for the company. Ten research analysts have rated the stock with a Buy rating, ten have assigned a Hold rating and two have given a Sell rating to the company's stock. According to data from MarketBeat, the stock has a consensus rating of "Hold" and a consensus target price of $31.89.

Apellis Pharmaceuticals Trading Up 0.4%

Shares of Apellis Pharmaceuticals stock opened at $40.39 on Wednesday. The stock has a market capitalization of $5.16 billion, a P/E ratio of 310.68 and a beta of 0.26. The company has a 50-day simple moving average of $21.11 and a 200 day simple moving average of $22.58. The company has a quick ratio of 2.70, a current ratio of 3.14 and a debt-to-equity ratio of 0.98. Apellis Pharmaceuticals has a 12-month low of $16.10 and a 12-month high of $40.45.

Apellis Pharmaceuticals (NASDAQ:APLS - Get Free Report) last released its quarterly earnings results on Tuesday, February 24th. The company reported $0.47 EPS for the quarter, topping analysts' consensus estimates of ($0.39) by $0.86. Apellis Pharmaceuticals had a return on equity of 8.20% and a net margin of 2.23%.The business had revenue of $199.91 million for the quarter, compared to analyst estimates of $199.28 million. During the same period in the prior year, the company earned ($0.29) EPS. Apellis Pharmaceuticals's revenue for the quarter was down 5.9% on a year-over-year basis. Research analysts expect that Apellis Pharmaceuticals will post -1.7 earnings per share for the current fiscal year.

Insider Buying and Selling at Apellis Pharmaceuticals

In other news, General Counsel David O. Watson sold 7,832 shares of the firm's stock in a transaction dated Thursday, January 22nd. The stock was sold at an average price of $21.77, for a total transaction of $170,502.64. Following the sale, the general counsel owned 88,531 shares of the company's stock, valued at $1,927,319.87. This trade represents a 8.13% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, insider Nur Nicholson sold 7,725 shares of Apellis Pharmaceuticals stock in a transaction that occurred on Thursday, January 22nd. The shares were sold at an average price of $21.77, for a total transaction of $168,173.25. Following the completion of the transaction, the insider directly owned 71,118 shares in the company, valued at approximately $1,548,238.86. The trade was a 9.80% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders have sold 115,537 shares of company stock worth $2,486,082 over the last ninety days. 6.80% of the stock is owned by corporate insiders.

Hedge Funds Weigh In On Apellis Pharmaceuticals

Hedge funds have recently modified their holdings of the stock. Invesco Ltd. increased its stake in shares of Apellis Pharmaceuticals by 23.5% during the 4th quarter. Invesco Ltd. now owns 225,976 shares of the company's stock worth $5,677,000 after purchasing an additional 42,960 shares during the last quarter. Mackenzie Financial Corp boosted its holdings in shares of Apellis Pharmaceuticals by 25.4% during the fourth quarter. Mackenzie Financial Corp now owns 96,211 shares of the company's stock worth $2,424,000 after acquiring an additional 19,500 shares during the period. NewEdge Advisors LLC acquired a new position in shares of Apellis Pharmaceuticals in the fourth quarter valued at approximately $366,000. Virtus Investment Advisers LLC increased its stake in shares of Apellis Pharmaceuticals by 17.4% during the fourth quarter. Virtus Investment Advisers LLC now owns 27,086 shares of the company's stock worth $680,000 after purchasing an additional 4,013 shares during the period. Finally, Twinbeech Capital LP lifted its holdings in Apellis Pharmaceuticals by 47.3% during the 4th quarter. Twinbeech Capital LP now owns 13,152 shares of the company's stock worth $330,000 after purchasing an additional 4,225 shares during the last quarter. Institutional investors own 96.29% of the company's stock.

Key Headlines Impacting Apellis Pharmaceuticals

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

• Positive Sentiment: Biogen agreed to acquire Apellis for $41.00 in cash per share plus a CVR that could add up to $4 per share on SYFOVRE sales milestones — the deal is the primary catalyst for the sharp rise in APLS shares. Biogen to buy Apellis Pharmaceuticals for $5.6 billion
• Neutral Sentiment: Broker reaction: HC Wainwright reaffirmed a "neutral" rating and set a $41 price target (down from $48), which implies little upside versus the acquisition price and signals mixed analyst guidance post‑deal. HC Wainwright rating note
• Neutral Sentiment: Zacks notes that despite heavy volume and the deal news, recent trends in earnings estimate revisions could limit sustainable upside unless fundamentals or deal certainty improve. Apellis Moves 135.4% Higher: Will This Strength Last?
• Negative Sentiment: Multiple shareholder law firms announced investigations (Kahn Swick & Foti, Halper Sadeh, Ademi LLP) questioning whether Apellis shareholders are receiving a fair price/process in the sale — potential legal challenges or disclosure fights could delay closing or add deal uncertainty. KSF investor alert
• Negative Sentiment: Analyst downgrades and target cuts around the deal: Needham cut APLS from "buy" to "hold" and Cantor Fitzgerald trimmed its target previously — these actions reflect mixed views on deal premium and post‑close expectations. Cantor Fitzgerald cuts PT on Apellis

Apellis Pharmaceuticals Company Profile

Apellis Pharmaceuticals, Inc, traded as NASDAQ:APLS, is a clinical-stage biopharmaceutical company focused on the development of novel therapies targeting the complement cascade for the treatment of rare and debilitating diseases. The company's research and development efforts center on modulating complement proteins to address a range of ophthalmologic, hematologic and renal conditions. Apellis leverages its proprietary compstatin technology platform to design targeted inhibitors intended to improve patient outcomes and quality of life.

The company's lead marketed product, Syfovre (pegcetacoplan), is an intravitreal complement C3 inhibitor approved for geographic atrophy secondary to age-related macular degeneration, with ongoing investigations in other retinal disorders.

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