Day One Biopharmaceuticals (NASDAQ:DAWN) Trading 7% Higher - Here's Why

Key Points

• Day One Biopharmaceuticals shares rose 7% on Friday, trading at $6.69 after a prior close of $6.25, although trading volume decreased by 12% compared to the average.
• Analysts have adjusted their target prices, with Needham & Company lowering it to $16.00 and HC Wainwright to $25.00, yet maintaining "buy" ratings, leading to an average target price of $25.33.
• The company's latest earnings report showed a loss of ($0.29) per share, slightly better than the consensus estimate of ($0.35), amidst revenues of $33.91 million for the quarter, lower than the projected $35.55 million.

Day One Biopharmaceuticals, Inc. (NASDAQ:DAWN - Get Free Report)'s stock price shot up 7% during mid-day trading on Friday . The company traded as high as $6.69 and last traded at $6.69. 1,207,210 shares were traded during trading, a decline of 12% from the average session volume of 1,377,416 shares. The stock had previously closed at $6.25.

Analyst Upgrades and Downgrades

Several analysts recently weighed in on DAWN shares. HC Wainwright dropped their price target on Day One Biopharmaceuticals from $36.00 to $25.00 and set a "buy" rating for the company in a report on Wednesday, August 6th. Wedbush reissued an "outperform" rating and set a $25.00 target price on shares of Day One Biopharmaceuticals in a report on Wednesday, May 7th. Piper Sandler started coverage on shares of Day One Biopharmaceuticals in a research note on Monday. They set an "overweight" rating and a $25.00 price objective on the stock. Finally, Needham & Company LLC lowered their price objective on shares of Day One Biopharmaceuticals from $18.00 to $16.00 and set a "buy" rating for the company in a research report on Wednesday, August 6th. One equities research analyst has rated the stock with a Strong Buy rating and seven have assigned a Buy rating to the company's stock. According to data from MarketBeat, the company has an average rating of "Buy" and a consensus target price of $25.29.

Day One Biopharmaceuticals Trading Down 0.1%

The stock has a market capitalization of $697.55 million, a P/E ratio of -7.17 and a beta of -1.26. The company has a 50-day moving average price of $6.61 and a two-hundred day moving average price of $7.71.

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

Insider Activity at Day One Biopharmaceuticals

In other news, CEO Jeremy Bender sold 16,058 shares of the company's stock in a transaction dated Monday, August 18th. The shares were sold at an average price of $6.77, for a total transaction of $108,712.66. Following the transaction, the chief executive officer owned 161,365 shares in the company, valued at approximately $1,092,441.05. This represents a 9.05% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Also, insider Adam Dubow sold 4,365 shares of the stock in a transaction dated Monday, August 18th. The stock was sold at an average price of $6.77, for a total transaction of $29,551.05. Following the transaction, the insider directly owned 54,858 shares in the company, valued at $371,388.66. This trade represents a 7.37% decrease in their position. The disclosure for this sale can be found here. Over the last 90 days, insiders have sold 28,295 shares of company stock worth $191,557. 6.20% of the stock is owned by insiders.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently added to or reduced their stakes in the company. Alyeska Investment Group L.P. acquired a new position in shares of Day One Biopharmaceuticals during the fourth quarter worth approximately $31,829,000. Boxer Capital Management LLC acquired a new stake in Day One Biopharmaceuticals in the 4th quarter valued at $15,077,000. Vestal Point Capital LP increased its stake in Day One Biopharmaceuticals by 80.4% during the 1st quarter. Vestal Point Capital LP now owns 2,598,127 shares of the company's stock valued at $20,603,000 after purchasing an additional 1,158,127 shares in the last quarter. Millennium Management LLC increased its stake in Day One Biopharmaceuticals by 587.2% during the 1st quarter. Millennium Management LLC now owns 1,320,095 shares of the company's stock valued at $10,468,000 after purchasing an additional 1,127,995 shares in the last quarter. Finally, Goldman Sachs Group Inc. raised its holdings in Day One Biopharmaceuticals by 232.4% during the first quarter. Goldman Sachs Group Inc. now owns 1,569,918 shares of the company's stock worth $12,449,000 after buying an additional 1,097,679 shares during the last quarter. Institutional investors own 87.95% of the company's stock.

About Day One Biopharmaceuticals

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.