SCS Capital Management LLC Takes Position in Denali Therapeutics Inc. $DNLI

Key Points

• SCS Capital Management LLC has acquired a new stake in Denali Therapeutics Inc. (DNLI), purchasing 197,998 shares valued at approximately $2.69 million, representing 0.14% ownership.
• Denali Therapeutics' stock is currently down 0.9%, with a market capitalization of $2.25 billion and earnings per share of -$0.72, slightly beating analysts' estimates.
• Insider activity includes a significant transaction by CEO Ryan J. Watts, who sold 495,282 shares, reducing their ownership by 66.18%.

SCS Capital Management LLC acquired a new position in shares of Denali Therapeutics Inc. (NASDAQ:DNLI - Free Report) during the first quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission. The institutional investor acquired 197,998 shares of the company's stock, valued at approximately $2,692,000. SCS Capital Management LLC owned approximately 0.14% of Denali Therapeutics at the end of the most recent reporting period.

A number of other institutional investors and hedge funds also recently made changes to their positions in the stock. Wellington Management Group LLP lifted its position in Denali Therapeutics by 15.9% in the 1st quarter. Wellington Management Group LLP now owns 11,409,598 shares of the company's stock valued at $155,113,000 after acquiring an additional 1,561,647 shares in the last quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC lifted its position in Denali Therapeutics by 88.9% in the 1st quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 6,766,916 shares of the company's stock valued at $91,996,000 after acquiring an additional 3,184,042 shares in the last quarter. Price T Rowe Associates Inc. MD lifted its position in Denali Therapeutics by 42.8% in the 1st quarter. Price T Rowe Associates Inc. MD now owns 4,367,234 shares of the company's stock valued at $59,373,000 after acquiring an additional 1,308,619 shares in the last quarter. Goldman Sachs Group Inc. lifted its position in Denali Therapeutics by 58.1% in the 1st quarter. Goldman Sachs Group Inc. now owns 1,672,078 shares of the company's stock valued at $22,732,000 after acquiring an additional 614,555 shares in the last quarter. Finally, Millennium Management LLC increased its stake in Denali Therapeutics by 269.4% in the 1st quarter. Millennium Management LLC now owns 1,493,068 shares of the company's stock valued at $20,298,000 after buying an additional 1,088,844 shares during the last quarter. Institutional investors own 92.92% of the company's stock.

Analysts Set New Price Targets

DNLI has been the subject of several research analyst reports. Bank of America decreased their price target on shares of Denali Therapeutics from $28.00 to $27.00 and set a "buy" rating for the company in a research note on Monday, May 19th. Cantor Fitzgerald restated an "overweight" rating on shares of Denali Therapeutics in a research note on Monday, September 8th. Morgan Stanley decreased their price target on shares of Denali Therapeutics from $33.00 to $30.00 and set an "overweight" rating for the company in a research note on Monday, August 18th. Finally, TD Cowen upgraded shares of Denali Therapeutics to a "strong-buy" rating in a research note on Monday, July 28th. Three analysts have rated the stock with a Strong Buy rating, thirteen have issued a Buy rating and one has given a Hold rating to the company's stock. According to MarketBeat, the company presently has a consensus rating of "Buy" and a consensus target price of $33.50.

Insider Buying and Selling

In related news, CEO Ryan J. Watts sold 495,282 shares of Denali Therapeutics stock in a transaction on Wednesday, July 9th. The shares were sold at an average price of $15.00, for a total value of $7,429,230.00. Following the transaction, the chief executive officer owned 253,071 shares in the company, valued at $3,796,065. This trade represents a 66.18% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. Also, insider Alexander O. Schuth sold 2,937 shares of Denali Therapeutics stock in a transaction on Tuesday, August 12th. The stock was sold at an average price of $13.58, for a total transaction of $39,884.46. Following the completion of the transaction, the insider owned 242,346 shares in the company, valued at approximately $3,291,058.68. The trade was a 1.20% decrease in their position. The disclosure for this sale can be found here. Insiders have sold a total of 501,962 shares of company stock worth $7,520,799 in the last 90 days. 12.50% of the stock is owned by company insiders.

Denali Therapeutics Price Performance

NASDAQ:DNLI traded down $0.80 during trading hours on Monday, hitting $13.39. The stock had a trading volume of 543,399 shares, compared to its average volume of 1,475,375. The company has a 50 day simple moving average of $14.59 and a two-hundred day simple moving average of $14.39. The company has a debt-to-equity ratio of 0.01, a current ratio of 10.27 and a quick ratio of 10.27. Denali Therapeutics Inc. has a one year low of $10.57 and a one year high of $33.33. The firm has a market capitalization of $1.96 billion, a price-to-earnings ratio of -4.78 and a beta of 1.23.

Denali Therapeutics (NASDAQ:DNLI - Get Free Report) last announced its quarterly earnings results on Monday, August 11th. The company reported ($0.72) EPS for the quarter, beating the consensus estimate of ($0.74) by $0.02. During the same quarter in the prior year, the company earned ($0.59) earnings per share. Research analysts forecast that Denali Therapeutics Inc. will post -2.71 earnings per share for the current fiscal year.

Denali Therapeutics Company Profile

Denali Therapeutics Inc, a biopharmaceutical company, develops a portfolio of product candidates engineered to cross the blood-brain barrier for neurodegenerative diseases and lysosomal storage diseases in the United States. The company's transport vehicle (TV)-enabled programs include DNL310 ETV, an IDS enzyme replacement therapy program for MPS II; TAK-594/DNL593 which is in Phase 1/II for frontotemporal dementia-granulin; DNL126 program for MPS IIIA; and DNL622 for MPS I, as well as other preclinical programs that target amyloid beta and HER2.