Avidity Biosciences (NASDAQ:RNA) Stock Price Up 18.4% - Time to Buy?

Key Points

• Avidity Biosciences' stock price surged 18.4%, reaching $45.29, with trading volume increasing to approximately 1.8 million shares.
• Analysts have a strong consensus rating of “Buy” for the stock, with a target price averaging $66.35 after recent upgrades from firms like Citigroup and Barclays.
• Despite the positive stock movement, the company reported a loss with ($0.90) earnings per share, falling short of analysts’ expectations.

Avidity Biosciences, Inc. (NASDAQ:RNA - Get Free Report)'s share price rose 18.4% on Wednesday . The stock traded as high as $38.32 and last traded at $45.29. Approximately 1,803,937 shares were traded during trading, an increase of 9% from the average daily volume of 1,648,261 shares. The stock had previously closed at $38.26.

Analyst Ratings Changes

A number of research analysts recently commented on the stock. Citigroup upped their price target on shares of Avidity Biosciences from $70.00 to $75.00 and gave the company a "buy" rating in a research note on Tuesday, June 10th. Sanford C. Bernstein initiated coverage on shares of Avidity Biosciences in a research report on Tuesday, June 24th. They set an "outperform" rating and a $50.00 price objective for the company. Barclays upped their price objective on shares of Avidity Biosciences from $57.00 to $59.00 and gave the stock an "overweight" rating in a research report on Tuesday, June 10th. Needham & Company LLC restated a "buy" rating and issued a $60.00 price target on shares of Avidity Biosciences in a research report on Wednesday, April 9th. Finally, Wolfe Research began coverage on shares of Avidity Biosciences in a research report on Tuesday, June 17th. They issued an "outperform" rating and a $55.00 price target for the company. Sixteen research analysts have rated the stock with a buy rating and one has issued a strong buy rating to the stock. According to MarketBeat, Avidity Biosciences has a consensus rating of "Buy" and a consensus target price of $66.35.

Avidity Biosciences Stock Up 25.2%

The firm has a market capitalization of $5.77 billion, a P/E ratio of -15.90 and a beta of 0.95. The company's 50 day moving average is $32.28 and its 200-day moving average is $30.91.

Avidity Biosciences (NASDAQ:RNA - Get Free Report) last issued its quarterly earnings data on Thursday, May 8th. The biotechnology company reported ($0.90) earnings per share (EPS) for the quarter, missing analysts' consensus estimates of ($0.88) by ($0.02). The business had revenue of $1.60 million for the quarter, compared to analyst estimates of $2.63 million. Avidity Biosciences had a negative net margin of 4,136.00% and a negative return on equity of 26.96%. On average, analysts predict that Avidity Biosciences, Inc. will post -2.89 EPS for the current fiscal year.

Insider Buying and Selling

In other Avidity Biosciences news, insider W. Michael Flanagan sold 20,000 shares of Avidity Biosciences stock in a transaction dated Wednesday, June 11th. The shares were sold at an average price of $32.88, for a total value of $657,600.00. Following the sale, the insider owned 80,195 shares of the company's stock, valued at approximately $2,636,811.60. The trade was a 19.96% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is accessible through this link. Also, insider John B. Moriarty sold 2,245 shares of Avidity Biosciences stock in a transaction dated Monday, August 4th. The stock was sold at an average price of $36.21, for a total transaction of $81,291.45. Following the completion of the sale, the insider directly owned 47,755 shares in the company, valued at approximately $1,729,208.55. This represents a 4.49% decrease in their position. The disclosure for this sale can be found here. Over the last ninety days, insiders have sold 29,031 shares of company stock worth $957,260. 3.83% of the stock is owned by insiders.

Institutional Trading of Avidity Biosciences

Several hedge funds have recently added to or reduced their stakes in RNA. LPL Financial LLC raised its position in shares of Avidity Biosciences by 273.9% in the fourth quarter. LPL Financial LLC now owns 16,726 shares of the biotechnology company's stock valued at $486,000 after purchasing an additional 12,253 shares during the period. Geode Capital Management LLC raised its holdings in Avidity Biosciences by 8.6% during the 4th quarter. Geode Capital Management LLC now owns 2,807,455 shares of the biotechnology company's stock valued at $82,832,000 after buying an additional 222,152 shares during the last quarter. Headlands Technologies LLC bought a new position in Avidity Biosciences in the 4th quarter worth $60,000. Trexquant Investment LP raised its holdings in Avidity Biosciences by 383.8% in the 4th quarter. Trexquant Investment LP now owns 76,495 shares of the biotechnology company's stock worth $2,224,000 after purchasing an additional 60,685 shares in the last quarter. Finally, ExodusPoint Capital Management LP purchased a new stake in shares of Avidity Biosciences in the 4th quarter worth about $984,000.

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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest and most accurate reporting. This story was reviewed by MarketBeat's editorial team prior to publication. Please send any questions or comments about this story to contact@marketbeat.com.