BridgeBio Pharma (NASDAQ:BBIO) Shares Gap Down Following Weak Earnings

Key Points

• BridgeBio Pharma shares experienced a significant drop, opening at $44.50 after closing at $49.21, following a disappointing earnings report where they reported ($0.95) earnings per share, missing estimates.
• The company posted a remarkable 4999.9% increase in revenue year-over-year, totaling $110.57 million, exceeding analyst expectations.
• Despite the recent downturn, the stock maintains a consensus rating of "Moderate Buy" with a target price of $61.24 from various analysts and firms.

BridgeBio Pharma, Inc. (NASDAQ:BBIO - Get Free Report) shares gapped down prior to trading on Wednesday following a weaker than expected earnings announcement. The stock had previously closed at $49.21, but opened at $44.50. BridgeBio Pharma shares last traded at $42.59, with a volume of 2,569,055 shares traded.

The company reported ($0.95) earnings per share for the quarter, missing the consensus estimate of ($0.83) by ($0.12). The firm had revenue of $110.57 million during the quarter, compared to analyst estimates of $98.46 million. During the same period in the prior year, the firm earned ($0.39) earnings per share. The business's revenue was up 4999.9% on a year-over-year basis.

Analyst Ratings Changes

BBIO has been the topic of several recent research reports. Wolfe Research assumed coverage on BridgeBio Pharma in a research report on Tuesday, June 17th. They issued an "outperform" rating and a $49.00 price target on the stock. Truist Financial started coverage on BridgeBio Pharma in a research report on Monday, July 21st. They set a "buy" rating and a $66.00 target price on the stock. UBS Group boosted their price target on BridgeBio Pharma from $65.00 to $72.00 and gave the stock a "buy" rating in a research note on Wednesday, April 30th. Bank of America boosted their price target on BridgeBio Pharma from $50.00 to $54.00 and gave the stock a "buy" rating in a research note on Wednesday, June 25th. Finally, Wells Fargo & Company boosted their price target on BridgeBio Pharma from $67.00 to $76.00 and gave the stock an "overweight" rating in a research note on Monday, June 30th. One investment analyst has rated the stock with a sell rating and seventeen have given a buy rating to the stock. According to MarketBeat.com, the stock presently has an average rating of "Moderate Buy" and a consensus target price of $61.24.

Insider Activity at BridgeBio Pharma

In other news, Director Frank Mccormick sold 100,000 shares of the firm's stock in a transaction dated Tuesday, June 24th. The stock was sold at an average price of $44.23, for a total transaction of $4,423,000.00. Following the completion of the sale, the director directly owned 879,979 shares in the company, valued at $38,921,471.17. This trade represents a 10.20% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, Director Hannah Valantine sold 2,289 shares of the stock in a transaction dated Thursday, June 26th. The stock was sold at an average price of $44.05, for a total transaction of $100,830.45. Following the transaction, the director directly owned 398 shares in the company, valued at $17,531.90. The trade was a 85.19% decrease in their position. The disclosure for this sale can be found here. Over the last ninety days, insiders sold 9,750,155 shares of company stock valued at $369,080,403. 18.20% of the stock is currently owned by insiders.

Hedge Funds Weigh In On BridgeBio Pharma

A number of large investors have recently bought and sold shares of the business. Raymond James Financial Inc. acquired a new stake in shares of BridgeBio Pharma in the fourth quarter valued at approximately $456,000. Schroder Investment Management Group acquired a new position in shares of BridgeBio Pharma during the fourth quarter valued at approximately $949,000. Legal & General Group Plc increased its stake in shares of BridgeBio Pharma by 2.8% during the fourth quarter. Legal & General Group Plc now owns 134,038 shares of the company's stock valued at $3,678,000 after acquiring an additional 3,706 shares during the period. Fernwood Investment Management LLC increased its stake in shares of BridgeBio Pharma by 6.3% during the fourth quarter. Fernwood Investment Management LLC now owns 278,330 shares of the company's stock valued at $7,637,000 after acquiring an additional 16,595 shares during the period. Finally, F M Investments LLC acquired a new position in shares of BridgeBio Pharma during the fourth quarter valued at approximately $2,667,000. Institutional investors own 99.85% of the company's stock.

BridgeBio Pharma Stock Down 13.2%

The firm has a market cap of $8.11 billion, a price-to-earnings ratio of -12.04 and a beta of 1.23. The stock's 50 day moving average is $42.91 and its 200 day moving average is $37.26.

About BridgeBio Pharma

BridgeBio Pharma, Inc, a commercial-stage biopharmaceutical company, discovers, creates, tests, and delivers transformative medicines to treat patients who suffer from genetic diseases and cancers. Its products in development programs include AG10, a next-generation oral small molecule near-complete TTR stabilizer that is in Phase 3 clinical trial for the treatment of TTR amyloidosis, or transthyretin amyloid cardiomyopathy (ATTR-CM); low-dose infigratinib, an oral FGFR1-3 selective tyrosine kinase inhibitor, which is in Phase 3 double-blinded, placebo-controlled pivotal study for the treatment option for children with achondroplasia; and BBP-631, an AAV5 gene transfer product candidate that is in Phase 1/2 clinical trial for the treatment of congenital adrenal hyperplasia, or CAH, driven by 21-hydroxylase deficiency, or 21OHD.

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