Editas Medicine (NASDAQ:EDIT) Share Price Passes Below Fifty Day Moving Average - What's Next?

Key Points

• Editas Medicine shares slipped below their 50-day moving average, trading as low as $2.82 and last changing hands around $2.88, signaling short-term technical weakness.
• Analyst sentiment is mixed but leans positive: the stock carries a “Moderate Buy” consensus with a $5.40 price target, even as some firms downgraded or reiterated sell ratings.
• Recent fundamentals remain challenging, as the company posted a narrower-than-expected quarterly loss but missed revenue estimates, while insiders have also been selling shares.

Shares of Editas Medicine, Inc. (NASDAQ:EDIT - Get Free Report) crossed below its 50 day moving average during trading on Thursday . The stock has a 50 day moving average of $2.95 and traded as low as $2.82. Editas Medicine shares last traded at $2.88, with a volume of 1,383,929 shares.

Wall Street Analysts Forecast Growth

A number of research analysts recently commented on EDIT shares. Chardan Capital upped their price target on shares of Editas Medicine from $3.50 to $4.00 and gave the company a "buy" rating in a research note on Tuesday, May 5th. Wall Street Zen downgraded shares of Editas Medicine from a "hold" rating to a "sell" rating in a research report on Sunday, May 10th. Weiss Ratings restated a "sell (e+)" rating on shares of Editas Medicine in a report on Monday, April 20th. Finally, TD Cowen reaffirmed a "buy" rating on shares of Editas Medicine in a research report on Wednesday, May 27th. Five equities research analysts have rated the stock with a Buy rating, one has assigned a Hold rating and one has given a Sell rating to the company's stock. Based on data from MarketBeat, the stock has an average rating of "Moderate Buy" and a consensus price target of $5.40.

Editas Medicine Price Performance

The stock's 50-day moving average price is $2.95 and its 200-day moving average price is $2.57. The company has a market cap of $281.98 million, a P/E ratio of -2.34 and a beta of 2.10.

Editas Medicine (NASDAQ:EDIT - Get Free Report) last released its quarterly earnings results on Tuesday, May 5th. The company reported ($0.26) EPS for the quarter, topping analysts' consensus estimates of ($0.30) by $0.04. Editas Medicine had a negative net margin of 281.59% and a negative return on equity of 677.39%. The business had revenue of $2.83 million for the quarter, compared to analyst estimates of $6.37 million. As a group, analysts expect that Editas Medicine, Inc. will post -1.03 EPS for the current fiscal year.

Insider Buying and Selling at Editas Medicine

In other news, CEO Gilmore Neil O'neill sold 15,380 shares of Editas Medicine stock in a transaction that occurred on Wednesday, June 3rd. The shares were sold at an average price of $2.70, for a total value of $41,526.00. Following the completion of the sale, the chief executive officer directly owned 248,313 shares in the company, valued at approximately $670,445.10. The trade was a 5.83% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold 16,575 shares of company stock valued at $44,752 in the last three months. 3.10% of the stock is currently owned by insiders.

Hedge Funds Weigh In On Editas Medicine

Several hedge funds and other institutional investors have recently added to or reduced their stakes in the stock. Captrust Financial Advisors acquired a new stake in shares of Editas Medicine during the 2nd quarter worth $26,000. StoneX Group Inc. bought a new position in shares of Editas Medicine in the fourth quarter worth $33,000. Abel Hall LLC acquired a new position in Editas Medicine in the first quarter valued at about $36,000. Victory Capital Management Inc. acquired a new position in Editas Medicine in the third quarter valued at about $36,000. Finally, State of Wyoming bought a new stake in Editas Medicine during the first quarter worth about $43,000. 71.90% of the stock is owned by institutional investors and hedge funds.

Editas Medicine Company Profile

Editas Medicine is a clinical-stage biotechnology company focused on translating the power of gene editing into a new class of transformative genomic medicines. Founded in 2013 and headquartered in Cambridge, Massachusetts, the company leverages proprietary CRISPR/Cas9 and CRISPR/Cas12a (Cpf1) platforms to develop therapies aimed at correcting disease-causing genetic mutations. Editas Medicine's research and development efforts span multiple therapeutic areas, including inherited retinal diseases, hemoglobinopathies, and oncology.

The company's pipeline includes EDIT-101, a lead candidate designed to treat Leber congenital amaurosis type 10 (LCA10), which has entered early-stage clinical trials, and EDIT-301, targeting sickle cell disease and β-thalassemia using an ex vivo editing approach.

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