Citigroup Lowers Ardelyx (NASDAQ:ARDX) Price Target to $11.00

Key Points

• Citigroup lowered Ardelyx’s price target from $14 to $11 while maintaining a “buy” rating, implying approximately 175% upside from the stock’s $4.00 price.
• Analyst sentiment remains broadly positive, with a MarketBeat consensus rating of “Moderate Buy” and an average price target of $15.00, despite recent target cuts from BTIG Research and TD Cowen.
• Ardelyx’s latest quarter showed revenue growth of 34.3% year over year to $120.88 million, but its $0.07 per-share loss missed expectations and the company continues to report negative margins and return on equity.

Ardelyx (NASDAQ:ARDX - Get Free Report) had its price target cut by research analysts at Citigroup from $14.00 to $11.00 in a research report issued to clients and investors on Monday,Benzinga reports. The firm presently has a "buy" rating on the biopharmaceutical company's stock. Citigroup's price target would suggest a potential upside of 175.34% from the company's current price.

Other analysts also recently issued reports about the company. BTIG Research decreased their price target on Ardelyx from $17.00 to $14.00 and set a "buy" rating for the company in a research report on Friday. TD Cowen reduced their price objective on Ardelyx from $13.00 to $10.00 and set a "buy" rating for the company in a research note on Friday. Zacks Research lowered Ardelyx from a "hold" rating to a "strong sell" rating in a research report on Wednesday, July 22nd. Weiss Ratings cut Ardelyx from a "sell (d-)" rating to a "sell (e+)" rating in a research note on Monday, June 29th. Finally, LADENBURG THALM/SH SH started coverage on shares of Ardelyx in a research report on Tuesday, June 16th. They set a "buy" rating and a $16.00 price target for the company. One investment analyst has rated the stock with a Strong Buy rating, nine have assigned a Buy rating and two have assigned a Sell rating to the company's stock. According to data from MarketBeat, the company has an average rating of "Moderate Buy" and an average target price of $15.00.

Ardelyx Stock Down 0.1%

ARDX stock traded down $0.01 during trading on Monday, reaching $4.00. The stock had a trading volume of 1,839,186 shares, compared to its average volume of 4,226,860. Ardelyx has a one year low of $3.90 and a one year high of $8.40. The company has a quick ratio of 3.28, a current ratio of 3.49 and a debt-to-equity ratio of 1.37. The company's 50 day moving average is $5.37 and its two-hundred day moving average is $6.07. The company has a market capitalization of $995.51 million, a price-to-earnings ratio of -18.20 and a beta of 0.70.

Ardelyx (NASDAQ:ARDX - Get Free Report) last posted its earnings results on Thursday, August 6th. The biopharmaceutical company reported ($0.07) EPS for the quarter, missing the consensus estimate of ($0.05) by ($0.02). Ardelyx had a negative return on equity of 35.57% and a negative net margin of 12.35%.The firm had revenue of $120.88 million for the quarter, compared to the consensus estimate of $121.03 million. During the same period in the prior year, the business earned ($0.08) EPS. Ardelyx's quarterly revenue was up 34.3% compared to the same quarter last year. Equities research analysts forecast that Ardelyx will post -0.1 EPS for the current year.

Insiders Place Their Bets

In related news, insider Eric Duane Foster sold 7,998 shares of the business's stock in a transaction dated Thursday, May 21st. The stock was sold at an average price of $6.27, for a total value of $50,147.46. Following the sale, the insider directly owned 417,972 shares in the company, valued at approximately $2,620,684.44. The trade was a 1.88% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is accessible through this hyperlink. Also, insider Mike Kelliher sold 7,248 shares of the company's stock in a transaction dated Thursday, May 21st. The shares were sold at an average price of $6.27, for a total transaction of $45,444.96. Following the sale, the insider directly owned 357,418 shares in the company, valued at approximately $2,241,010.86. This trade represents a 1.99% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders have sold a total of 24,572 shares of company stock worth $154,066 in the last ninety days. Insiders own 5.30% of the company's stock.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently bought and sold shares of the business. First Horizon Corp lifted its position in shares of Ardelyx by 120.4% during the fourth quarter. First Horizon Corp now owns 7,906 shares of the biopharmaceutical company's stock worth $46,000 after acquiring an additional 4,319 shares in the last quarter. SCS Capital Management LLC bought a new stake in shares of Ardelyx during the 2nd quarter valued at $52,000. Sumitomo Mitsui Trust Group Inc. bought a new stake in shares of Ardelyx during the 4th quarter valued at $60,000. Krilogy Financial LLC purchased a new stake in Ardelyx during the 1st quarter worth about $70,000. Finally, PVG Asset Management Corp purchased a new stake in Ardelyx during the 1st quarter worth about $65,000. 58.92% of the stock is owned by institutional investors.

About Ardelyx

Ardelyx, Inc NASDAQ: ARDX is a clinical‐stage biopharmaceutical company focused on discovering, developing and commercializing targeted small molecule drugs for cardio‐renal and gastrointestinal diseases. The company's lead marketed product, tenapanor (sold under the brand name XPHOZAH in the United States), is approved for the treatment of hyperphosphatemia in patients with chronic kidney disease on dialysis. Ardelyx's proprietary approach targets epithelial transporters in the gastrointestinal tract, offering localized activity with limited systemic exposure.

Beyond tenapanor, Ardelyx's development pipeline includes treatments designed to address other complications in kidney disease and related metabolic disorders.

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