Avidity Biosciences (NASDAQ:RNA) Shares Gap Down - Should You Sell?

Key Points

• Avidity Biosciences shares experienced a significant drop, opening at $37.48 after closing at $46.40, representing a decline of 16.1%.
• Analysts have generally positive outlooks, with several firms raising their price targets, ranging from $59.00 to $96.00, maintaining a consensus rating of "Buy."
• Insider activity indicates significant sales, with key directors reducing their holdings by up to 84.55%, selling over half a million shares valued at approximately $24.8 million in the last quarter.

Shares of Avidity Biosciences, Inc. (NASDAQ:RNA - Get Free Report) gapped down before the market opened on Thursday . The stock had previously closed at $46.40, but opened at $37.48. Avidity Biosciences shares last traded at $37.38, with a volume of 1,350,712 shares traded.

Analysts Set New Price Targets

RNA has been the topic of several research analyst reports. Cantor Fitzgerald reaffirmed an "overweight" rating and set a $96.00 price target on shares of Avidity Biosciences in a research report on Friday, June 27th. Barclays reissued an "overweight" rating and issued a $62.00 target price (up previously from $59.00) on shares of Avidity Biosciences in a report on Friday, August 8th. Evercore ISI reiterated an "outperform" rating and set a $70.00 price objective on shares of Avidity Biosciences in a research report on Friday, July 11th. JPMorgan Chase & Co. boosted their price objective on Avidity Biosciences from $57.00 to $59.00 and gave the stock an "overweight" rating in a research report on Tuesday, June 10th. Finally, Chardan Capital reissued a "buy" rating and set a $75.00 target price on shares of Avidity Biosciences in a report on Wednesday, September 10th. One analyst has rated the stock with a Strong Buy rating and seventeen have assigned a Buy rating to the stock. According to data from MarketBeat, the company has an average rating of "Buy" and an average target price of $68.94.

Avidity Biosciences Trading Up 3.0%

The stock has a market capitalization of $5.33 billion, a PE ratio of -11.64 and a beta of 0.99. The firm's 50-day simple moving average is $41.12 and its two-hundred day simple moving average is $33.82.

Insider Activity at Avidity Biosciences

In other Avidity Biosciences news, insider Teresa Mccarthy sold 10,000 shares of Avidity Biosciences stock in a transaction on Friday, August 15th. The shares were sold at an average price of $46.56, for a total transaction of $465,600.00. Following the completion of the sale, the insider owned 97,130 shares of the company's stock, valued at $4,522,372.80. This trade represents a 9.33% decrease in their position. The sale was disclosed in a filing with the SEC, which is available at this hyperlink. Also, insider Eric Mosbrooker sold 6,563 shares of Avidity Biosciences stock in a transaction on Wednesday, September 3rd. The shares were sold at an average price of $47.07, for a total transaction of $308,920.41. Following the sale, the insider directly owned 55,000 shares of the company's stock, valued at $2,588,850. This trade represents a 10.66% decrease in their position. The disclosure for this sale can be found here. Over the last ninety days, insiders have sold 540,499 shares of company stock worth $24,814,854. 3.83% of the stock is currently owned by company insiders.

Institutional Investors Weigh In On Avidity Biosciences

Institutional investors and hedge funds have recently modified their holdings of the business. Westside Investment Management Inc. acquired a new stake in shares of Avidity Biosciences in the 2nd quarter valued at $29,000. PNC Financial Services Group Inc. increased its holdings in shares of Avidity Biosciences by 291.5% during the 2nd quarter. PNC Financial Services Group Inc. now owns 1,476 shares of the biotechnology company's stock worth $42,000 after purchasing an additional 1,099 shares during the period. Osaic Holdings Inc. increased its holdings in shares of Avidity Biosciences by 1,659.1% during the 2nd quarter. Osaic Holdings Inc. now owns 1,636 shares of the biotechnology company's stock worth $48,000 after purchasing an additional 1,543 shares during the period. Parallel Advisors LLC increased its stake in Avidity Biosciences by 43.3% in 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 period. Finally, Elevation Point Wealth Partners LLC bought a new stake in Avidity Biosciences in the second quarter valued at about $49,000.

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.