Canaccord Genuity Group Forecasts Strong Price Appreciation for Ultragenyx Pharmaceutical (NASDAQ:RARE) Stock

Key Points

• Canaccord Genuity raised Ultragenyx Pharmaceutical’s price target to $83 from $81 and maintained a “buy” rating, implying substantial upside from the stock’s reported price of $25.26.
• Analyst sentiment is broadly positive: the stock has a consensus “Moderate Buy” rating and an average price target of $58.50, although estimates range widely from $35 to $103.
• Ultragenyx exceeded quarterly expectations, reporting adjusted EPS of -$0.90 versus the consensus -$1.22 and revenue of $214 million, up 28.5% year over year. The company’s FDA approval of GENGLYCOS, its fifth approved product, could provide a new long-term revenue opportunity, though launch execution and reimbursement remain key risks.

Ultragenyx Pharmaceutical (NASDAQ:RARE - Get Free Report) had its price objective upped by research analysts at Canaccord Genuity Group from $81.00 to $83.00 in a report issued on Thursday,Benzinga reports. The brokerage presently has a "buy" rating on the biopharmaceutical company's stock. Canaccord Genuity Group's price target indicates a potential upside of 228.58% from the company's current price.

A number of other equities analysts have also recently commented on the company. Wall Street Zen raised Ultragenyx Pharmaceutical from a "sell" rating to a "hold" rating in a report on Saturday, August 8th. Royal Bank Of Canada lifted their price target on Ultragenyx Pharmaceutical from $35.00 to $40.00 and gave the stock an "outperform" rating in a research note on Tuesday, July 7th. Guggenheim dropped their price target on Ultragenyx Pharmaceutical from $43.00 to $35.00 and set a "buy" rating for the company in a research report on Tuesday, August 4th. Citigroup lifted their target price on shares of Ultragenyx Pharmaceutical from $45.00 to $58.00 and gave the stock a "buy" rating in a research note on Thursday. Finally, HC Wainwright reaffirmed a "buy" rating and set a $50.00 target price on shares of Ultragenyx Pharmaceutical in a report on Monday, August 10th. One research analyst has rated the stock with a Strong Buy rating, fifteen have issued a Buy rating, two have given a Hold rating and one has given a Sell rating to the company. According to data from MarketBeat, the stock currently has a consensus rating of "Moderate Buy" and an average target price of $58.50.

Ultragenyx Pharmaceutical Stock Performance

Shares of RARE stock traded down $0.98 on Thursday, reaching $25.26. 2,827,007 shares of the company were exchanged, compared to its average volume of 2,219,305. Ultragenyx Pharmaceutical has a 1 year low of $18.29 and a 1 year high of $39.89. The business has a 50-day moving average price of $28.52 and a 200 day moving average price of $24.96. The company has a market cap of $2.49 billion, a price-to-earnings ratio of -4.33 and a beta of 0.35.

Ultragenyx Pharmaceutical (NASDAQ:RARE - Get Free Report) last issued its quarterly earnings results on Tuesday, August 4th. The biopharmaceutical company reported ($0.90) earnings per share for the quarter, beating analysts' consensus estimates of ($1.22) by $0.32. Ultragenyx Pharmaceutical had a negative net margin of 81.79% and a negative return on equity of 1,024.42%. The firm had revenue of $214.00 million for the quarter, compared to analyst estimates of $183.08 million. During the same period last year, the company posted ($1.17) EPS. Ultragenyx Pharmaceutical's quarterly revenue was up 28.5% compared to the same quarter last year. As a group, equities analysts anticipate that Ultragenyx Pharmaceutical will post -4.12 earnings per share for the current year.

Insider Buying and Selling

In related news, CFO Howard Horn sold 4,653 shares of Ultragenyx Pharmaceutical stock in a transaction that occurred on Monday, June 1st. The stock was sold at an average price of $23.77, for a total transaction of $110,601.81. Following the transaction, the chief financial officer owned 105,689 shares in the company, valued at approximately $2,512,227.53. This trade represents a 4.22% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which can be accessed through this link. Also, Director Corazon (Corsee) D. Sanders sold 2,000 shares of the business's stock in a transaction on Monday, June 15th. The stock was sold at an average price of $25.05, for a total value of $50,100.00. Following the transaction, the director directly owned 21,095 shares in the company, valued at $528,429.75. This trade represents a 8.66% decrease in their position. The disclosure for this sale is available in the SEC filing. Over the last 90 days, insiders have sold 8,552 shares of company stock worth $207,455. 5.20% of the stock is owned by corporate insiders.

Institutional Investors Weigh In On Ultragenyx Pharmaceutical

Hedge funds have recently modified their holdings of the company. Parallel Advisors LLC raised its stake in Ultragenyx Pharmaceutical by 778.4% during the first quarter. Parallel Advisors LLC now owns 1,625 shares of the biopharmaceutical company's stock worth $34,000 after purchasing an additional 1,440 shares during the period. Leonteq Securities AG grew its stake in shares of Ultragenyx Pharmaceutical by 288.5% in the 1st quarter. Leonteq Securities AG now owns 1,795 shares of the biopharmaceutical company's stock valued at $38,000 after buying an additional 1,333 shares during the period. Versant Capital Management Inc grew its stake in shares of Ultragenyx Pharmaceutical by 662.9% in the 2nd quarter. Versant Capital Management Inc now owns 1,152 shares of the biopharmaceutical company's stock valued at $38,000 after buying an additional 1,001 shares during the period. Danske Bank A S acquired a new stake in shares of Ultragenyx Pharmaceutical during the 3rd quarter worth approximately $39,000. Finally, EverSource Wealth Advisors LLC increased its holdings in shares of Ultragenyx Pharmaceutical by 573.0% during the 1st quarter. EverSource Wealth Advisors LLC now owns 2,167 shares of the biopharmaceutical company's stock worth $45,000 after buying an additional 1,845 shares during the last quarter. Hedge funds and other institutional investors own 97.67% of the company's stock.

More Ultragenyx Pharmaceutical News

Here are the key news stories impacting Ultragenyx Pharmaceutical this week:

• Positive Sentiment: FDA approval expands Ultragenyx’s commercial portfolio. GENGLYCOS is the first FDA-approved treatment designed to address the underlying cause of GSDIa, rather than only managing symptoms. The approval gives patients a new treatment option and could create a significant long-term revenue opportunity for Ultragenyx. Reuters article
• Positive Sentiment: GENGLYCOS is the company’s fifth FDA-approved product. Management said the therapy may reduce the substantial burden of care associated with GSDIa. Ultragenyx also received a Priority Review Voucher, an asset that can potentially be used for a future product or sold to another pharmaceutical company. Ultragenyx announcement
• Positive Sentiment: Analysts raised their expectations following the approval. Wells Fargo lifted its price target to $46 from $45 and maintained an Overweight rating, while Cantor Fitzgerald raised its target to $103 from $96 and also maintained an Overweight rating. The revisions reflect expectations for a potentially durable revenue stream from GENGLYCOS and improved confidence in Ultragenyx’s rare-disease pipeline. Yahoo Finance article
• Neutral Sentiment: The accelerated approval is a strong initial validation, but the company will need to execute the commercial launch and satisfy any post-approval confirmatory requirements. Investors may therefore focus next on pricing, patient uptake, reimbursement and manufacturing capacity.

About Ultragenyx Pharmaceutical

Ultragenyx Pharmaceutical Inc is a biopharmaceutical company focused on developing and commercializing therapies for rare and ultra-rare genetic disorders. Since its founding in 2010 and headquarters in Novato, California, the company has built expertise in protein replacement therapies, small molecules and gene therapy approaches to address high-unmet medical needs. Ultragenyx applies a precision medicine model, leveraging both in-house research and strategic collaborations to advance its product pipeline from discovery through regulatory approval.

The company's commercial portfolio includes Crysvita (burosumab-tmyl) for X-linked hypophosphatemia, Mepsevii (vestronidase alfa-vjbk) for mucopolysaccharidosis VII and Dojolvi (triheptanoin) for long-chain fatty acid oxidation disorders.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.

Continue following MarketBeat

Add MarketBeat as your preferred source on Google to see our latest stories in your feed.

Add As Preferred Source