Arvinas (NASDAQ:ARVN) Shares Gap Down - What's Next?

Key Points

• Arvinas' shares gapped down from a close of $9.41 to an opening price of $8.80, and the stock last traded at $9.17 with a trading volume of 563,823 shares.
• The company reported a $0.84 loss per share for the last quarter, exceeding the consensus estimate, but its revenue of $22.4 million was significantly lower than the anticipated $34.42 million.
• Arvinas has authorized a $100 million share repurchase plan, indicating the board's belief that the stock is undervalued; this plan allows the repurchase of up to 17.9% of its shares.

Arvinas, Inc. (NASDAQ:ARVN - Get Free Report)'s stock price gapped down before the market opened on Wednesday . The stock had previously closed at $9.41, but opened at $8.80. Arvinas shares last traded at $9.17, with a volume of 563,823 shares traded.

Analyst Ratings Changes

ARVN has been the subject of several recent research reports. Wedbush reiterated a "neutral" rating and issued a $9.00 price target (down previously from $10.00) on shares of Arvinas in a research report on Thursday, September 18th. Barclays initiated coverage on Arvinas in a research note on Wednesday, September 17th. They issued an "overweight" rating and a $16.00 price objective for the company. HC Wainwright decreased their price target on Arvinas from $24.00 to $18.00 and set a "buy" rating on the stock in a report on Thursday, August 7th. Guggenheim cut their price objective on shares of Arvinas from $16.00 to $15.00 and set a "buy" rating on the stock in a research report on Thursday, August 7th. Finally, Weiss Ratings reissued a "sell (e+)" rating on shares of Arvinas in a research note on Wednesday, October 8th. One equities research analyst has rated the stock with a Strong Buy rating, ten have assigned a Buy rating, ten have assigned a Hold rating and two have assigned a Sell rating to the company. According to MarketBeat, the stock has an average rating of "Hold" and an average price target of $16.18.

Arvinas Price Performance

The business's fifty day moving average price is $7.91 and its two-hundred day moving average price is $7.60. The stock has a market capitalization of $686.84 million, a PE ratio of -9.25 and a beta of 2.39.

Arvinas (NASDAQ:ARVN - Get Free Report) last announced its quarterly earnings data on Wednesday, August 6th. The company reported ($0.84) earnings per share (EPS) for the quarter, topping the consensus estimate of ($0.87) by $0.03. The firm had revenue of $22.40 million during the quarter, compared to analysts' expectations of $34.42 million. Arvinas had a negative return on equity of 12.01% and a negative net margin of 19.47%.The company's revenue for the quarter was down 70.7% compared to the same quarter last year. During the same period last year, the business posted ($0.49) earnings per share. As a group, equities research analysts anticipate that Arvinas, Inc. will post -3.81 earnings per share for the current fiscal year.

Arvinas declared that its board has authorized a share repurchase plan on Wednesday, September 17th that permits the company to repurchase $100.00 million in shares. This repurchase authorization permits the company to buy up to 17.9% of its shares through open market purchases. Shares repurchase plans are usually a sign that the company's board believes its shares are undervalued.

Insider Transactions at Arvinas

In other Arvinas news, Director Briggs Morrison purchased 30,000 shares of the stock in a transaction on Monday, September 22nd. The shares were bought at an average price of $7.57 per share, for a total transaction of $227,100.00. Following the completion of the transaction, the director owned 76,021 shares of the company's stock, valued at $575,478.97. This trade represents a 65.19% increase in their position. The transaction was disclosed in a document filed with the SEC, which is available through this link. Corporate insiders own 4.73% of the company's stock.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently bought and sold shares of the stock. Vanguard Group Inc. boosted its stake in Arvinas by 18.4% during the 1st quarter. Vanguard Group Inc. now owns 8,362,200 shares of the company's stock worth $58,703,000 after purchasing an additional 1,299,639 shares during the last quarter. Alyeska Investment Group L.P. acquired a new stake in shares of Arvinas during the 1st quarter worth about $12,636,000. Geode Capital Management LLC lifted its holdings in shares of Arvinas by 3.1% in the 2nd quarter. Geode Capital Management LLC now owns 1,585,092 shares of the company's stock worth $11,668,000 after acquiring an additional 48,296 shares during the last quarter. Acadian Asset Management LLC grew its stake in shares of Arvinas by 791.1% in the second quarter. Acadian Asset Management LLC now owns 1,427,832 shares of the company's stock valued at $10,498,000 after buying an additional 1,267,593 shares in the last quarter. Finally, Millennium Management LLC lifted its position in shares of Arvinas by 208.4% during the first quarter. Millennium Management LLC now owns 1,310,326 shares of the company's stock worth $9,198,000 after purchasing an additional 885,483 shares in the last quarter. 95.19% of the stock is owned by hedge funds and other institutional investors.

About Arvinas

Arvinas, Inc, a clinical-stage biotechnology company, engages in the discovery, development, and commercialization of therapies to degrade disease-causing proteins. The company engineers proteolysis targeting chimeras (PROTAC) targeted protein degraders that are designed to harness the body's own natural protein disposal system to degrade and remove disease-causing proteins.

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