Avidity Biosciences (NASDAQ:RNA) Shares Gap Down Following Insider Selling

Key Points

• Avidity Biosciences shares opened at $44.46 after gapping down due to significant insider selling, which included a 67.69% decrease in the ownership of insider Steven George Hughes who sold 81,434 shares.
• Analysts have mixed views on the company, with Bank of America raising its target price from $48.00 to $54.00, while other firms like HC Wainwright cut their target price from $72.00 to $68.00.
• Avidity reported a quarterly earnings miss with a loss of ($0.90) per share, contributing to a negative net margin of 4,136.00% and disappointing revenue of $1.60 million compared to expectations.

Avidity Biosciences, Inc. (NASDAQ:RNA - Get Free Report)'s share price gapped down prior to trading on Monday after an insider sold shares in the company. The stock had previously closed at $46.29, but opened at $44.46. Avidity Biosciences shares last traded at $44.45, with a volume of 505,071 shares traded.

Specifically, insider Steven George Hughes sold 81,434 shares of the company's stock in a transaction on Wednesday, August 6th. The stock was sold at an average price of $42.74, for a total transaction of $3,480,489.16. Following the completion of the sale, the insider directly owned 38,867 shares in the company, valued at approximately $1,661,175.58. This represents a 67.69% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this hyperlink. Also, Director Arthur A. Levin sold 107,500 shares of the company's stock in a transaction on Wednesday, August 6th. The shares were sold at an average price of $47.62, for a total value of $5,119,150.00. Following the sale, the director owned 19,650 shares of the company's stock, valued at approximately $935,733. The trade was a 84.55% decrease in their ownership of the stock. The disclosure for this sale can be found here. In other news, Director Troy Edward Wilson sold 65,554 shares of the business's stock in a transaction on Wednesday, August 6th. The stock was sold at an average price of $45.00, for a total transaction of $2,949,930.00. Following the completion of the transaction, the director owned 17,776 shares of the company's stock, valued at approximately $799,920. The trade was a 78.67% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink.

Analysts Set New Price Targets

RNA has been the subject of a number of recent research reports. Citigroup upped their target price on Avidity Biosciences from $70.00 to $75.00 and gave the stock a "buy" rating in a report on Tuesday, June 10th. Chardan Capital reaffirmed a "buy" rating and issued a $75.00 target price on shares of Avidity Biosciences in a report on Friday, August 8th. HC Wainwright lowered their target price on Avidity Biosciences from $72.00 to $68.00 and set a "buy" rating for the company in a report on Monday, May 12th. Bank of America upped their target price on Avidity Biosciences from $48.00 to $54.00 and gave the stock a "buy" rating in a report on Monday, June 9th. Finally, Wells Fargo & Company increased their price target on Avidity Biosciences from $70.00 to $75.00 and gave the company an "overweight" rating in a research note on Friday, August 8th. Seventeen analysts have rated the stock with a buy rating and one has given a strong buy rating to the company. Based on data from MarketBeat.com, Avidity Biosciences has a consensus rating of "Buy" and an average price target of $67.00.

Avidity Biosciences Trading Up 0.7%

The firm has a 50-day moving average of $33.73 and a 200 day moving average of $31.50. The company has a market cap of $5.99 billion, a P/E ratio of -15.52 and a beta of 0.95.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently added to or reduced their stakes in the company. TD Waterhouse Canada Inc. lifted its holdings in shares of Avidity Biosciences by 646.3% in the fourth quarter. TD Waterhouse Canada Inc. now owns 1,000 shares of the biotechnology company's stock valued at $29,000 after purchasing an additional 866 shares in the last quarter. Westside Investment Management Inc. bought a new position in shares of Avidity Biosciences in the second quarter valued at approximately $29,000. PNC Financial Services Group Inc. increased its position in shares of Avidity Biosciences by 291.5% during the second quarter. PNC Financial Services Group Inc. now owns 1,476 shares of the biotechnology company's stock valued at $42,000 after acquiring an additional 1,099 shares during the last quarter. Elevation Point Wealth Partners LLC purchased a new stake in shares of Avidity Biosciences during the second quarter valued at approximately $49,000. Finally, Parallel Advisors LLC increased its position in shares of Avidity Biosciences by 43.3% during the first quarter. Parallel Advisors LLC now owns 1,705 shares of the biotechnology company's stock valued at $50,000 after acquiring an additional 515 shares during the last quarter.

Avidity Biosciences Company Profile

Avidity Biosciences, Inc, a biopharmaceutical company, engages in the delivery of RNA therapeutics. It develops antibody oligonucleotide conjugates (AOC) that are designed to treat diseases previously untreatable with RNA therapeutics. The company's lead product candidate AOC 1001 for the treatment of myotonic dystrophy type 1, a rare monogenic muscle disease that is in phase 1/2 clinical trial.