Avidity Biosciences (NASDAQ:RNA) Stock Price Up 9.6% - Still a Buy?

Key Points

• Avidity Biosciences shares surged by 9.6% to $36.38, with a trading volume that exceeded the average by 24% during mid-day trading.
• Analysts have a strong positive outlook, with sixteen recommending a "buy" rating and a consensus price target of $66.35.
• The company reported a quarterly EPS of ($0.90), missing estimates, and indicates projected earnings of -2.89 EPS for the current year.
• Insiders have recently sold shares, with a notable sale resulting in a decrease of ownership by nearly 20% for one insider.

Shares of Avidity Biosciences, Inc. (NASDAQ:RNA - Get Free Report) rose 9.6% during trading on Friday . The company traded as high as $36.39 and last traded at $36.38. Approximately 1,920,110 shares traded hands during mid-day trading, an increase of 24% from the average daily volume of 1,543,616 shares. The stock had previously closed at $33.21.

Wall Street Analysts Forecast Growth

Several equities research analysts have weighed in on RNA shares. Evercore ISI restated an "outperform" rating and issued a $70.00 target price on shares of Avidity Biosciences in a research note on Friday, July 11th. Sanford C. Bernstein initiated coverage on shares of Avidity Biosciences in a report on Tuesday, June 24th. They issued an "outperform" rating and a $50.00 price objective for the company. Wolfe Research initiated coverage on shares of Avidity Biosciences in a research note on Tuesday, June 17th. They set an "outperform" rating and a $55.00 target price for the company. Chardan Capital boosted their target price on shares of Avidity Biosciences from $65.00 to $75.00 and gave the stock a "buy" rating in a research note on Monday, June 9th. Finally, Needham & Company LLC reiterated a "buy" rating and issued a $60.00 target price on shares of Avidity Biosciences in a report on Wednesday, April 9th. Sixteen equities research analysts have rated the stock with a buy rating and one has assigned a strong buy rating to the stock. According to data from MarketBeat.com, Avidity Biosciences presently has a consensus rating of "Buy" and a consensus price target of $66.35.

Avidity Biosciences Trading Up 11.0%

The company's 50 day simple moving average is $31.34 and its 200-day simple moving average is $30.48. The firm has a market cap of $4.44 billion, a P/E ratio of -12.33 and a beta of 0.91.

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

Insider Activity at Avidity Biosciences

In other Avidity Biosciences news, insider W. Michael Flanagan sold 20,000 shares of the company's stock in a transaction on Wednesday, June 11th. The stock was sold at an average price of $32.88, for a total value of $657,600.00. Following the completion of the sale, the insider directly owned 80,195 shares in the company, valued at $2,636,811.60. This represents a 19.96% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through the SEC website. Also, insider Kathleen P. Gallagher sold 911 shares of the firm's stock in a transaction dated Tuesday, June 17th. The stock was sold at an average price of $30.24, for a total value of $27,548.64. Following the sale, the insider directly owned 50,392 shares in the company, valued at $1,523,854.08. This trade represents a 1.78% decrease in their position. The disclosure for this sale can be found here. In the last 90 days, insiders sold 32,661 shares of company stock worth $1,066,319. Insiders own 3.83% of the company's stock.

Hedge Funds Weigh In On Avidity Biosciences

Several institutional investors have recently bought and sold shares of RNA. Vanguard Personalized Indexing Management LLC raised its position in shares of Avidity Biosciences by 24.2% during the 2nd quarter. Vanguard Personalized Indexing Management LLC now owns 9,159 shares of the biotechnology company's stock valued at $260,000 after acquiring an additional 1,786 shares during the last quarter. KLP Kapitalforvaltning AS raised its position in shares of Avidity Biosciences by 19.5% in the second quarter. KLP Kapitalforvaltning AS now owns 19,000 shares of the biotechnology company's stock valued at $540,000 after purchasing an additional 3,100 shares during the period. Mirae Asset Global Investments Co. Ltd. grew its position in shares of Avidity Biosciences by 4.8% in the second quarter. Mirae Asset Global Investments Co. Ltd. now owns 16,316 shares of the biotechnology company's stock valued at $463,000 after purchasing an additional 746 shares during the last quarter. Mirador Capital Partners LP grew its position in shares of Avidity Biosciences by 46.8% in the second quarter. Mirador Capital Partners LP now owns 41,389 shares of the biotechnology company's stock valued at $1,175,000 after purchasing an additional 13,189 shares during the last quarter. Finally, Rhumbline Advisers increased its holdings in shares of Avidity Biosciences by 7.1% during the first quarter. Rhumbline Advisers now owns 164,776 shares of the biotechnology company's stock worth $4,864,000 after purchasing an additional 10,973 shares during the period.

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.