Gossamer Bio (NASDAQ:GOSS) Shares Gap Up - Here's What Happened

Key Points

• Shares of Gossamer Bio gapped up from $3.20 to $3.37 before trading, and analysts currently have an average rating of “Buy” with a price target of $8.50.
• The company reported better-than-expected earnings with ($0.17) EPS, surpassing estimates of ($0.18) and generating revenue of $11.49 million compared to the $4.12 million consensus estimate.
• Gossamer Bio has seen significant institutional trading, with hedge funds owning 81.23% of its stock and several firms increasing their positions in recent months.

Shares of Gossamer Bio, Inc. (NASDAQ:GOSS - Get Free Report) gapped up prior to trading on Wednesday . The stock had previously closed at $3.20, but opened at $3.37. Gossamer Bio shares last traded at $3.12, with a volume of 345,411 shares trading hands.

Analysts Set New Price Targets

A number of equities analysts have weighed in on GOSS shares. Wall Street Zen cut Gossamer Bio from a "hold" rating to a "sell" rating in a report on Sunday. Wedbush upped their price target on Gossamer Bio from $4.00 to $5.00 and gave the company an "outperform" rating in a research report on Wednesday, August 6th. Scotiabank started coverage on Gossamer Bio in a report on Monday, July 14th. They issued a "sector outperform" rating and a $11.00 price target for the company. Finally, Cantor Fitzgerald reissued an "overweight" rating on shares of Gossamer Bio in a report on Thursday, September 11th. Five investment analysts have rated the stock with a Buy rating, According to MarketBeat.com, the stock presently has a consensus rating of "Buy" and a consensus target price of $8.50.

Gossamer Bio Trading Down 1.0%

The company has a debt-to-equity ratio of 6.70, a current ratio of 4.40 and a quick ratio of 4.40. The stock's fifty day simple moving average is $2.26 and its 200-day simple moving average is $1.53. The firm has a market cap of $693.51 million, a PE ratio of -4.92 and a beta of 1.95.

Gossamer Bio (NASDAQ:GOSS - Get Free Report) last posted its earnings results on Tuesday, August 5th. The company reported ($0.17) earnings per share for the quarter, beating the consensus estimate of ($0.18) by $0.01. The company had revenue of $11.49 million for the quarter, compared to analyst estimates of $4.12 million. Gossamer Bio had a negative net margin of 344.81% and a negative return on equity of 1,774.72%. On average, sell-side analysts forecast that Gossamer Bio, Inc. will post -0.28 earnings per share for the current year.

Hedge Funds Weigh In On Gossamer Bio

A number of hedge funds have recently added to or reduced their stakes in GOSS. Bank of America Corp DE lifted its holdings in Gossamer Bio by 107.2% in the 4th quarter. Bank of America Corp DE now owns 84,788 shares of the company's stock valued at $77,000 after acquiring an additional 43,866 shares during the last quarter. Lazard Asset Management LLC lifted its position in Gossamer Bio by 7,992.6% during the 4th quarter. Lazard Asset Management LLC now owns 107,470 shares of the company's stock worth $97,000 after buying an additional 106,142 shares in the last quarter. Millennium Management LLC increased its holdings in shares of Gossamer Bio by 14.6% in the fourth quarter. Millennium Management LLC now owns 3,586,067 shares of the company's stock valued at $3,244,000 after purchasing an additional 457,179 shares during the last quarter. Two Sigma Advisers LP boosted its stake in shares of Gossamer Bio by 44.7% in the fourth quarter. Two Sigma Advisers LP now owns 1,157,500 shares of the company's stock valued at $1,047,000 after buying an additional 357,500 shares during the period. Finally, Two Sigma Investments LP grew its holdings in shares of Gossamer Bio by 41.3% during the 4th quarter. Two Sigma Investments LP now owns 891,279 shares of the company's stock valued at $806,000 after purchasing an additional 260,318 shares during the last quarter. Institutional investors and hedge funds own 81.23% of the company's stock.

About Gossamer Bio

Gossamer Bio, Inc, a clinical-stage biopharmaceutical company, focuses on developing and commercializing seralutinib for the treatment of pulmonary arterial hypertension (PAH) in the United States. The company is developing GB002, an inhaled, small molecule, platelet-derived growth factor receptor, or PDGFR, colony-stimulatin factor 1 receptor and c-KIT inhibitor, which is in Phase 3 clinical trial for the treatment of PAH.