Beam Therapeutics (NASDAQ:BEAM) Shares Down 6.8% on Disappointing Earnings

Shares of Beam Therapeutics Inc. (NASDAQ:BEAM - Get Free Report) dropped 6.8% on Tuesday following a weaker than expected earnings announcement. The stock traded as low as $18.37 and last traded at $18.47. 326,775 shares traded hands during trading, a decline of 83% from the average session volume of 1,947,803 shares. The stock had previously closed at $19.82.

The company reported ($1.24) earnings per share (EPS) for the quarter, missing analysts' consensus estimates of ($1.11) by ($0.13). Beam Therapeutics had a negative net margin of 41.07% and a negative return on equity of 16.22%. During the same quarter in the previous year, the firm earned ($1.21) EPS. The business's revenue for the quarter was up 1.4% compared to the same quarter last year.

Wall Street Analysts Forecast Growth

Several equities analysts have recently issued reports on the company. Jones Trading raised Beam Therapeutics from a "hold" rating to a "buy" rating and set a $34.00 price target for the company in a research report on Monday, March 10th. Scotiabank upgraded shares of Beam Therapeutics from a "sector perform" rating to a "sector outperform" rating and set a $40.00 price target on the stock in a report on Monday, March 10th. Sanford C. Bernstein upgraded shares of Beam Therapeutics from a "hold" rating to a "strong-buy" rating in a report on Tuesday, January 7th. Cantor Fitzgerald reiterated an "overweight" rating on shares of Beam Therapeutics in a research note on Wednesday, March 12th. Finally, Guggenheim restated a "buy" rating and issued a $78.00 price target on shares of Beam Therapeutics in a research note on Thursday, February 27th. Two analysts have rated the stock with a hold rating, ten have given a buy rating and two have assigned a strong buy rating to the company's stock. Based on data from MarketBeat, Beam Therapeutics currently has a consensus rating of "Buy" and an average price target of $49.45.

Insider Buying and Selling

In related news, President Giuseppe Ciaramella sold 7,434 shares of Beam Therapeutics stock in a transaction dated Tuesday, April 1st. The stock was sold at an average price of $18.35, for a total value of $136,413.90. Following the completion of the sale, the president now directly owns 190,216 shares in the company, valued at $3,490,463.60. The trade was a 3.76 % decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available through the SEC website. Also, CEO John M. Evans sold 30,663 shares of the business's stock in a transaction dated Tuesday, April 1st. The shares were sold at an average price of $18.35, for a total transaction of $562,666.05. Following the completion of the sale, the chief executive officer now owns 986,249 shares of the company's stock, valued at approximately $18,097,669.15. This represents a 3.02 % decrease in their position. The disclosure for this sale can be found here. In the last ninety days, insiders sold 43,771 shares of company stock valued at $803,198. Company insiders own 4.20% of the company's stock.

Institutional Inflows and Outflows

Large investors have recently modified their holdings of the company. KLP Kapitalforvaltning AS grew its holdings in Beam Therapeutics by 45.5% in the first quarter. KLP Kapitalforvaltning AS now owns 19,500 shares of the company's stock worth $381,000 after purchasing an additional 6,100 shares during the last quarter. Universal Beteiligungs und Servicegesellschaft mbH acquired a new stake in shares of Beam Therapeutics in the 1st quarter worth $717,000. Victory Capital Management Inc. grew its stake in Beam Therapeutics by 18.0% during the 1st quarter. Victory Capital Management Inc. now owns 10,612 shares of the company's stock worth $207,000 after buying an additional 1,618 shares during the last quarter. Peregrine Investment Management Inc. increased its position in Beam Therapeutics by 41.4% during the 1st quarter. Peregrine Investment Management Inc. now owns 224,260 shares of the company's stock valued at $4,380,000 after buying an additional 65,710 shares in the last quarter. Finally, CWM LLC raised its stake in Beam Therapeutics by 79.8% in the first quarter. CWM LLC now owns 2,684 shares of the company's stock valued at $52,000 after buying an additional 1,191 shares during the last quarter. Institutional investors own 99.68% of the company's stock.

Beam Therapeutics Price Performance

The firm has a market cap of $1.84 billion, a price-to-earnings ratio of -10.37 and a beta of 2.35. The firm has a fifty day simple moving average of $20.84 and a two-hundred day simple moving average of $24.52.

About Beam Therapeutics

Beam Therapeutics Inc, a biotechnology company, engages in the development of precision genetic medicines for patients suffering from serious diseases in the United States. It develops BEAM-101 for the treatment of sickle cell disease or beta-thalassemia; and BEAM-302, a liver-targeting LNP formulation to treat severe alpha-1 antitrypsin deficiency; BEAM-201, an anti-CD7 CAR-T product candidate, which is in Phase 1/2 clinical trials for the treatment of refractory T-cell acute lymphoblastic leukemia/T cell lymphoblastic lymphoma; and BEAM-301, a liver-targeting LNP formulation for the treatment of glycogen storage disease 1a.

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