Ardelyx (NASDAQ:ARDX) Reaches New 1-Year Low on Disappointing Earnings

Ardelyx, Inc. (NASDAQ:ARDX - Get Free Report) hit a new 52-week low during trading on Friday following a weaker than expected earnings announcement. The stock traded as low as $4.02 and last traded at $4.39, with a volume of 2046815 shares. The stock had previously closed at $5.47.

The biopharmaceutical company reported ($0.17) EPS for the quarter, missing the consensus estimate of ($0.10) by ($0.07). Ardelyx had a negative return on equity of 24.87% and a negative net margin of 11.73%. The company had revenue of $74.11 million during the quarter, compared to analysts' expectations of $79.40 million. During the same period in the prior year, the business posted ($0.11) earnings per share. The company's revenue for the quarter was up 61.1% on a year-over-year basis.

Analyst Upgrades and Downgrades

A number of analysts have recently commented on ARDX shares. Scotiabank started coverage on Ardelyx in a research report on Friday, March 7th. They issued a "sector outperform" rating and a $15.00 price target on the stock. Citigroup dropped their target price on Ardelyx from $11.00 to $10.00 and set a "buy" rating on the stock in a report on Friday. HC Wainwright restated a "neutral" rating and set a $5.50 price target on shares of Ardelyx in a report on Friday, February 21st. LADENBURG THALM/SH SH reaffirmed a "buy" rating and issued a $11.00 price target on shares of Ardelyx in a research report on Friday, March 7th. Finally, BTIG Research assumed coverage on shares of Ardelyx in a research report on Tuesday, March 4th. They set a "buy" rating and a $14.00 price objective on the stock. Three equities research analysts have rated the stock with a hold rating, seven have assigned a buy rating and one has assigned a strong buy rating to the company's stock. According to MarketBeat.com, Ardelyx has a consensus rating of "Moderate Buy" and a consensus target price of $10.39.

Insider Buying and Selling

In related news, Director David M. Mott acquired 77,729 shares of the stock in a transaction that occurred on Monday, February 24th. The shares were bought at an average price of $5.00 per share, for a total transaction of $388,645.00. Following the completion of the transaction, the director now directly owns 2,015,494 shares in the company, valued at approximately $10,077,470. This trade represents a 4.01 % increase in their ownership of the stock. The acquisition was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, CEO Michael Raab sold 41,666 shares of the business's stock in a transaction on Friday, April 4th. The shares were sold at an average price of $4.59, for a total transaction of $191,246.94. Following the sale, the chief executive officer now owns 1,615,587 shares of the company's stock, valued at approximately $7,415,544.33. This represents a 2.51 % decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last ninety days, insiders sold 116,410 shares of company stock worth $600,475. 5.90% of the stock is owned by corporate insiders.

Hedge Funds Weigh In On Ardelyx

A number of institutional investors and hedge funds have recently made changes to their positions in the business. GF Fund Management CO. LTD. bought a new position in Ardelyx in the fourth quarter worth approximately $25,000. Newbridge Financial Services Group Inc. bought a new position in Ardelyx in the 4th quarter worth $35,000. SBI Securities Co. Ltd. purchased a new position in Ardelyx during the fourth quarter valued at $41,000. Cyndeo Wealth Partners LLC bought a new stake in Ardelyx during the first quarter valued at about $49,000. Finally, Quarry LP bought a new stake in Ardelyx during the fourth quarter valued at about $51,000. Hedge funds and other institutional investors own 58.92% of the company's stock.

Ardelyx Stock Performance

The business has a 50-day simple moving average of $5.00 and a 200 day simple moving average of $5.24. The company has a debt-to-equity ratio of 0.87, a current ratio of 4.58 and a quick ratio of 4.31. The firm has a market cap of $889.07 million, a PE ratio of -23.31 and a beta of 0.76.

Ardelyx Company Profile

Ardelyx, Inc, a biopharmaceutical company, discovers, develops, and commercializes medicines to treat gastrointestinal and cardiorenal therapeutic areas in the United States and internationally. The company's lead product candidate is tenapanor for the treatment of patients with irritable bowel syndrome with constipation.