Day One Biopharmaceuticals (NASDAQ:DAWN) Sets New 12-Month Low Following Analyst Downgrade

Key Points

• Day One Biopharmaceuticals (NASDAQ:DAWN) hit a 12-month low after Needham & Company lowered its price target from $18.00 to $16.00, although it maintains a buy rating on the stock.
• Institutional investors now own approximately 87.95% of the shares, with various firms acquiring new positions ranging from $27,000 to $88,000.
• Although Day One Biopharmaceuticals reported earnings that beat analyst expectations, the company had a negative net margin of 42.66% and is predicted to post -0.72 earnings per share for the year.

Shares of Day One Biopharmaceuticals, Inc. (NASDAQ:DAWN - Get Free Report) hit a new 52-week low during trading on Wednesday after Needham & Company LLC lowered their price target on the stock from $18.00 to $16.00. Needham & Company LLC currently has a buy rating on the stock. Day One Biopharmaceuticals traded as low as $5.96 and last traded at $5.96, with a volume of 60545 shares changing hands. The stock had previously closed at $6.88.

A number of other brokerages have also weighed in on DAWN. HC Wainwright reduced their price objective on shares of Day One Biopharmaceuticals from $36.00 to $25.00 and set a "buy" rating on the stock in a report on Wednesday. Wedbush restated an "outperform" rating and issued a $25.00 price objective on shares of Day One Biopharmaceuticals in a report on Wednesday, May 7th. Six equities research analysts have rated the stock with a buy rating and one has assigned a strong buy rating to the stock. Based on data from MarketBeat.com, the company currently has a consensus rating of "Buy" and a consensus target price of $25.33.

Insider Buying and Selling

In related news, General Counsel Adam Dubow sold 4,552 shares of Day One Biopharmaceuticals stock in a transaction on Friday, May 16th. The shares were sold at an average price of $6.26, for a total transaction of $28,495.52. Following the sale, the general counsel directly owned 47,136 shares in the company, valued at $295,071.36. This trade represents a 8.81% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. Also, CEO Jeremy Bender sold 13,964 shares of Day One Biopharmaceuticals stock in a transaction on Friday, May 16th. The stock was sold at an average price of $6.26, for a total transaction of $87,414.64. Following the sale, the chief executive officer owned 145,737 shares in the company, valued at $912,313.62. This represents a 8.74% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold 26,725 shares of company stock worth $167,299 in the last ninety days. 6.20% of the stock is owned by corporate insiders.

Institutional Investors Weigh In On Day One Biopharmaceuticals

Several hedge funds and other institutional investors have recently bought and sold shares of DAWN. GF Fund Management CO. LTD. acquired a new stake in Day One Biopharmaceuticals during the 4th quarter worth $27,000. VIRGINIA RETIREMENT SYSTEMS ET Al purchased a new position in Day One Biopharmaceuticals during the 2nd quarter worth $76,000. Quantbot Technologies LP purchased a new position in Day One Biopharmaceuticals during the 1st quarter worth $82,000. Pallas Capital Advisors LLC purchased a new position in Day One Biopharmaceuticals during the 1st quarter worth $87,000. Finally, Wealth Enhancement Advisory Services LLC purchased a new position in Day One Biopharmaceuticals during the 1st quarter worth $88,000. 87.95% of the stock is currently owned by institutional investors and hedge funds.

Day One Biopharmaceuticals Stock Performance

The company has a market capitalization of $624.82 million, a PE ratio of -6.42 and a beta of -1.26. The company's 50-day simple moving average is $6.70 and its 200-day simple moving average is $8.02.

Day One Biopharmaceuticals (NASDAQ:DAWN - Get Free Report) last issued its quarterly earnings data on Tuesday, August 5th. The company reported ($0.29) earnings per share (EPS) for the quarter, topping the consensus estimate of ($0.35) by $0.06. Day One Biopharmaceuticals had a negative net margin of 50.63% and a negative return on equity of 19.01%. The company had revenue of $33.91 million for the quarter, compared to the consensus estimate of $35.55 million. Analysts expect that Day One Biopharmaceuticals, Inc. will post -0.72 EPS for the current year.

Day One Biopharmaceuticals Company Profile

Day One Biopharmaceuticals, Inc, a clinical-stage biopharmaceutical company, develops and commercializes targeted therapies for patients with genomically defined cancers. Its lead product candidate is tovorafenib, an oral brain-penetrant type II pan-rapidly accelerated fibrosarcoma kinase inhibitor that is in Phase II clinical trial for pediatric patients with relapsed/ refractory low-grade glioma.