Prescott Group Capital Management L.L.C. Purchases 417,671 Shares of Emergent Biosolutions Inc. (NYSE:EBS)

Key Points

• Prescott Group Capital Management L.L.C. increased its holdings in Emergent Biosolutions Inc. by 198.9%, acquiring a total of 627,671 shares valued at $3,050,000.
• Recently, several institutional investors significantly bought shares of Emergent, including Covestor Ltd., which grew its stake by an astonishing 5,458.5%.
• Earnings results showed Emergent Biosolutions exceeding expectations with a reported $0.71 EPS and revenues of $222.20 million for the quarter, while the company also announced a $50 million stock buyback plan.

Prescott Group Capital Management L.L.C. boosted its holdings in shares of Emergent Biosolutions Inc. (NYSE:EBS - Free Report) by 198.9% in the 1st quarter, according to its most recent disclosure with the Securities and Exchange Commission (SEC). The fund owned 627,671 shares of the biopharmaceutical company's stock after purchasing an additional 417,671 shares during the period. Prescott Group Capital Management L.L.C. owned about 1.16% of Emergent Biosolutions worth $3,050,000 at the end of the most recent quarter.

Other institutional investors and hedge funds have also recently added to or reduced their stakes in the company. American Century Companies Inc. increased its holdings in shares of Emergent Biosolutions by 23.4% during the fourth quarter. American Century Companies Inc. now owns 2,137,712 shares of the biopharmaceutical company's stock worth $20,437,000 after buying an additional 404,667 shares in the last quarter. LPL Financial LLC increased its holdings in shares of Emergent Biosolutions by 34.5% during the fourth quarter. LPL Financial LLC now owns 15,120 shares of the biopharmaceutical company's stock worth $145,000 after buying an additional 3,875 shares in the last quarter. Cornercap Investment Counsel Inc. acquired a new position in shares of Emergent Biosolutions during the fourth quarter worth $115,000. Geode Capital Management LLC increased its holdings in shares of Emergent Biosolutions by 1.5% during the fourth quarter. Geode Capital Management LLC now owns 590,862 shares of the biopharmaceutical company's stock worth $5,651,000 after buying an additional 8,904 shares in the last quarter. Finally, Trexquant Investment LP increased its holdings in shares of Emergent Biosolutions by 59.3% during the fourth quarter. Trexquant Investment LP now owns 701,517 shares of the biopharmaceutical company's stock worth $6,707,000 after buying an additional 261,099 shares in the last quarter. 78.40% of the stock is currently owned by institutional investors.

Emergent Biosolutions Trading Down 2.6%

NYSE EBS traded down $0.18 on Tuesday, reaching $6.61. The company had a trading volume of 566,345 shares, compared to its average volume of 1,209,873. The firm has a market cap of $358.52 million, a price-to-earnings ratio of -2.44 and a beta of 2.09. Emergent Biosolutions Inc. has a fifty-two week low of $4.02 and a fifty-two week high of $15.10. The business has a 50 day moving average of $6.71 and a two-hundred day moving average of $6.84. The company has a debt-to-equity ratio of 1.20, a current ratio of 6.32 and a quick ratio of 3.51.

Emergent Biosolutions (NYSE:EBS - Get Free Report) last posted its quarterly earnings data on Wednesday, May 7th. The biopharmaceutical company reported $0.71 earnings per share for the quarter, beating analysts' consensus estimates of $0.49 by $0.22. The business had revenue of $222.20 million during the quarter, compared to the consensus estimate of $218.50 million. Emergent Biosolutions had a negative return on equity of 0.52% and a negative net margin of 13.63%. Analysts forecast that Emergent Biosolutions Inc. will post -0.63 EPS for the current year.

Emergent Biosolutions announced that its Board of Directors has authorized a share buyback program on Monday, March 31st that allows the company to buyback $50.00 million in shares. This buyback authorization allows the biopharmaceutical company to purchase up to 19% of its stock through open market purchases. Stock buyback programs are generally an indication that the company's management believes its stock is undervalued.

Insiders Place Their Bets

In other Emergent Biosolutions news, Director Keith Katkin sold 7,844 shares of the stock in a transaction dated Friday, May 23rd. The stock was sold at an average price of $6.30, for a total transaction of $49,417.20. Following the completion of the sale, the director directly owned 86,431 shares in the company, valued at approximately $544,515.30. This trade represents a 8.32% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is accessible through this link. Insiders own 3.20% of the company's stock.

Wall Street Analysts Forecast Growth

Separately, HC Wainwright reiterated a "buy" rating and set a $15.00 price target on shares of Emergent Biosolutions in a report on Tuesday, April 1st.

About Emergent Biosolutions

Emergent BioSolutions Inc, a life sciences company, provides preparedness and response solutions for accidental, deliberate, and naturally occurring public health threats in the United States. The company offers NARCAN Nasal Spray for the emergency treatment of known or suspected opioid overdose; Vaxchora vaccine for the prevention of cholera; Vivotif vaccine for oral administration for the prevention of typhoid fever; Anthrasil for the treatment of inhalational anthrax; BioThrax, an anthrax vaccine; CYFENDUS for post-exposure prophylaxis of disease following suspected or confirmed exposure to Bacillus anthracis; and Raxibacumab injection for the treatment and prophylaxis of inhalational anthrax.