Erasca's (ERAS) Underperform Rating Reiterated at Bank of America

Key Points

• Bank of America has reaffirmed its underperform rating on Erasca (NASDAQ:ERAS), reducing its price target from $4.00 to $1.00, indicating a potential 37.5% downside from the company's recent close.
• Guggenheim maintains a buy rating with a price objective of $3.00, while five analysts overall rate the stock as a Moderate Buy with an average target price of $3.71.
• Erasca, a clinical-stage oncology company, reported earnings of ($0.12) EPS, meeting consensus estimates, and has shifted focus to expanding its clinical trials for innovative cancer therapies.

Bank of America reissued their underperform rating on shares of Erasca (NASDAQ:ERAS - Free Report) in a report released on Wednesday morning, Marketbeat.com reports. Bank of America currently has a $1.00 target price on the stock, down from their previous target price of $4.00.

A number of other equities research analysts have also issued reports on the stock. Morgan Stanley reissued an "equal weight" rating and issued a $2.00 price target (down previously from $4.00) on shares of Erasca in a report on Monday, August 18th. Wall Street Zen raised shares of Erasca from a "sell" rating to a "hold" rating in a report on Saturday, August 30th. Finally, Guggenheim set a $3.00 price target on shares of Erasca and gave the stock a "buy" rating in a report on Wednesday, May 14th. Five investment analysts have rated the stock with a Buy rating, one has issued a Hold rating and one has given a Sell rating to the company's stock. According to data from MarketBeat.com, the stock currently has a consensus rating of "Moderate Buy" and an average target price of $3.71.

Erasca Stock Performance

Shares of ERAS stock traded down $0.06 on Wednesday, hitting $1.56. 877,201 shares of the company's stock traded hands, compared to its average volume of 1,360,625. Erasca has a one year low of $1.01 and a one year high of $3.31. The company's fifty day simple moving average is $1.51 and its 200 day simple moving average is $1.42. The stock has a market capitalization of $441.11 million, a price-to-earnings ratio of -3.46 and a beta of 1.08.

Erasca (NASDAQ:ERAS - Get Free Report) last released its earnings results on Tuesday, August 12th. The company reported ($0.12) EPS for the quarter, meeting the consensus estimate of ($0.12). As a group, sell-side analysts anticipate that Erasca will post -0.73 earnings per share for the current fiscal year.

Institutional Investors Weigh In On Erasca

A number of hedge funds have recently bought and sold shares of the business. Dimensional Fund Advisors LP lifted its holdings in shares of Erasca by 74.8% in the 4th quarter. Dimensional Fund Advisors LP now owns 2,111,986 shares of the company's stock worth $5,301,000 after acquiring an additional 903,687 shares during the last quarter. MetLife Investment Management LLC lifted its holdings in Erasca by 8.7% during the 4th quarter. MetLife Investment Management LLC now owns 112,725 shares of the company's stock valued at $283,000 after buying an additional 9,039 shares in the last quarter. Tower Research Capital LLC TRC boosted its position in Erasca by 244.2% in the 4th quarter. Tower Research Capital LLC TRC now owns 23,323 shares of the company's stock valued at $59,000 after buying an additional 16,547 shares during the period. Hsbc Holdings PLC boosted its position in Erasca by 57.3% in the 4th quarter. Hsbc Holdings PLC now owns 28,714 shares of the company's stock valued at $73,000 after buying an additional 10,458 shares during the period. Finally, Price T Rowe Associates Inc. MD boosted its position in Erasca by 18.4% in the 4th quarter. Price T Rowe Associates Inc. MD now owns 70,037 shares of the company's stock valued at $176,000 after buying an additional 10,899 shares during the period. Hedge funds and other institutional investors own 67.78% of the company's stock.

Erasca Company Profile

Erasca, Inc, a clinical-stage precision oncology company, focuses on discovering, developing, and commercializing therapies for patients with RAS/MAPK pathway-driven cancers. The company's lead product is naporafenib which is in phase 1b trial for patients with RAS Q16X solid tumors and plans to initiate a pivotal Phase 3 trial for patients with NRASm melanoma.