Eyepoint Pharmaceuticals (NASDAQ:EYPT) Shares Gap Down on Disappointing Earnings

Key Points

• Eyepoint Pharmaceuticals shares gapped down from $10.89 to $9.82 following a disappointing earnings report, with the latest trade at $10.42.
• The company reported an earnings per share (EPS) of ($0.85), missing the consensus estimate of ($0.67) by ($0.18).
• Market analysts have mixed ratings, with a consensus moderate buy and an average price target of $25.67, despite some target reductions from various firms.

Eyepoint Pharmaceuticals, Inc. (NASDAQ:EYPT - Get Free Report) shares gapped down before the market opened on Wednesday after the company announced weaker than expected quarterly earnings. The stock had previously closed at $10.89, but opened at $9.82. Eyepoint Pharmaceuticals shares last traded at $10.42, with a volume of 189,142 shares traded.

The company reported ($0.85) earnings per share (EPS) for the quarter, missing the consensus estimate of ($0.67) by ($0.18). Eyepoint Pharmaceuticals had a negative return on equity of 61.64% and a negative net margin of 337.93%. The company had revenue of $5.33 million for the quarter, compared to the consensus estimate of $6.82 million.

Wall Street Analyst Weigh In

Several equities research analysts have weighed in on the company. HC Wainwright increased their price objective on Eyepoint Pharmaceuticals from $22.00 to $23.00 and gave the stock a "buy" rating in a report on Wednesday. Royal Bank Of Canada assumed coverage on Eyepoint Pharmaceuticals in a report on Tuesday, June 17th. They issued an "outperform" rating and a $28.00 price objective for the company. Chardan Capital reiterated a "buy" rating and issued a $27.00 price objective on shares of Eyepoint Pharmaceuticals in a report on Thursday. Finally, Mizuho dropped their price objective on Eyepoint Pharmaceuticals from $30.00 to $26.00 and set an "outperform" rating for the company in a report on Friday, May 16th. One research analyst has rated the stock with a sell rating and nine have issued a buy rating to the stock. According to data from MarketBeat.com, the stock presently has an average rating of "Moderate Buy" and a consensus target price of $25.78.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently made changes to their positions in EYPT. RA Capital Management L.P. purchased a new position in shares of Eyepoint Pharmaceuticals in the 4th quarter valued at approximately $23,705,000. TCG Crossover Management LLC lifted its stake in shares of Eyepoint Pharmaceuticals by 287.3% in the 4th quarter. TCG Crossover Management LLC now owns 3,572,335 shares of the company's stock valued at $26,614,000 after purchasing an additional 2,650,000 shares during the period. Adage Capital Partners GP L.L.C. lifted its stake in shares of Eyepoint Pharmaceuticals by 51.7% in the 4th quarter. Adage Capital Partners GP L.L.C. now owns 5,750,000 shares of the company's stock valued at $42,838,000 after purchasing an additional 1,958,580 shares during the period. Suvretta Capital Management LLC lifted its stake in shares of Eyepoint Pharmaceuticals by 31.1% in the 4th quarter. Suvretta Capital Management LLC now owns 6,783,091 shares of the company's stock valued at $50,534,000 after purchasing an additional 1,607,268 shares during the period. Finally, Aberdeen Group plc lifted its stake in shares of Eyepoint Pharmaceuticals by 346.9% in the 2nd quarter. Aberdeen Group plc now owns 1,031,201 shares of the company's stock valued at $9,704,000 after purchasing an additional 800,456 shares during the period. Hedge funds and other institutional investors own 99.41% of the company's stock.

Eyepoint Pharmaceuticals Trading Up 1.6%

The stock has a 50 day moving average price of $9.65 and a 200 day moving average price of $7.45. The company has a market cap of $703.93 million, a PE ratio of -3.82 and a beta of 1.73.

About Eyepoint Pharmaceuticals

EyePoint Pharmaceuticals, Inc, a clinical-stage biopharmaceutical company, engages in developing and commercializing therapeutics to improve the lives of patients with serious retinal diseases. The company's pipeline leverages its proprietary bioerodible Durasert E technology for sustained intraocular drug delivery.