Royal Bank Of Canada Forecasts Strong Price Appreciation for Incyte (NASDAQ:INCY) Stock

Key Points

• Royal Bank of Canada increased its price target for Incyte (NASDAQ:INCY) from $68.00 to $72.00, maintaining a "sector perform" rating, indicating a potential downside of 7.93% from the current price.
• Incyte's quarterly earnings exceeded analyst expectations, reporting a revenue of $1.05 billion, up 19.5% year-over-year, along with an earnings per share of $1.16.
• Insider trading activity showed executives selling significant amounts of stock recently, contributing to a decrease in their ownership, with 17.80% of the stock currently owned by insiders.

Incyte (NASDAQ:INCY - Get Free Report) had its price objective lifted by equities research analysts at Royal Bank Of Canada from $68.00 to $72.00 in a note issued to investors on Wednesday,Benzinga reports. The brokerage presently has a "sector perform" rating on the biopharmaceutical company's stock. Royal Bank Of Canada's target price would indicate a potential downside of 3.48% from the stock's previous close.

Other equities analysts also recently issued reports about the stock. Wall Street Zen raised shares of Incyte from a "buy" rating to a "strong-buy" rating in a research report on Wednesday, April 30th. Wells Fargo & Company raised their price objective on shares of Incyte from $58.00 to $59.00 and gave the company an "equal weight" rating in a research report on Wednesday, April 30th. JPMorgan Chase & Co. reduced their target price on shares of Incyte from $68.00 to $67.00 and set a "neutral" rating on the stock in a research note on Monday, July 14th. Truist Financial lifted their price objective on shares of Incyte from $72.00 to $73.00 and gave the company a "hold" rating in a report on Tuesday, May 27th. Finally, Citigroup reissued a "buy" rating on shares of Incyte in a report on Tuesday, June 3rd. One analyst has rated the stock with a sell rating, twelve have issued a hold rating, six have issued a buy rating and one has assigned a strong buy rating to the stock. According to MarketBeat, the stock currently has a consensus rating of "Hold" and a consensus price target of $78.50.

Incyte Stock Performance

NASDAQ INCY traded down $0.30 during trading hours on Wednesday, hitting $74.60. The company had a trading volume of 308,180 shares, compared to its average volume of 1,876,739. The company has a debt-to-equity ratio of 0.01, a quick ratio of 2.00 and a current ratio of 2.85. The business has a 50 day moving average of $68.72 and a 200-day moving average of $66.68. Incyte has a 1-year low of $53.56 and a 1-year high of $83.95. The company has a market cap of $14.44 billion, a PE ratio of 16.96, a price-to-earnings-growth ratio of 0.65 and a beta of 0.68.

Incyte (NASDAQ:INCY - Get Free Report) last released its quarterly earnings results on Tuesday, April 29th. The biopharmaceutical company reported $1.16 earnings per share (EPS) for the quarter, topping the consensus estimate of $1.01 by $0.15. Incyte had a net margin of 18.99% and a return on equity of 21.99%. The firm had revenue of $1.05 billion for the quarter, compared to the consensus estimate of $996.17 million. During the same quarter in the previous year, the firm posted $0.64 EPS. The firm's quarterly revenue was up 19.5% on a year-over-year basis. As a group, equities research analysts expect that Incyte will post 4.86 EPS for the current year.

Insider Buying and Selling

In related news, EVP Sheila A. Denton sold 599 shares of Incyte stock in a transaction that occurred on Wednesday, July 2nd. The stock was sold at an average price of $68.61, for a total transaction of $41,097.39. Following the completion of the transaction, the executive vice president directly owned 26,504 shares in the company, valued at $1,818,439.44. The trade was a 2.21% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available at this hyperlink. Also, EVP Barry P. Flannelly sold 10,903 shares of the company's stock in a transaction dated Thursday, July 3rd. The shares were sold at an average price of $68.15, for a total transaction of $743,039.45. Following the completion of the sale, the executive vice president owned 39,744 shares in the company, valued at approximately $2,708,553.60. This trade represents a 21.53% decrease in their position. The disclosure for this sale can be found here. In the last ninety days, insiders sold 56,098 shares of company stock worth $3,836,196. Corporate insiders own 17.80% of the company's stock.

Institutional Inflows and Outflows

Several institutional investors have recently bought and sold shares of the company. Banque Transatlantique SA acquired a new position in Incyte in the first quarter valued at about $26,000. FNY Investment Advisers LLC acquired a new stake in Incyte in the second quarter valued at $27,000. Raiffeisen Bank International AG bought a new position in shares of Incyte during the fourth quarter worth approximately $34,000. Hilltop National Bank bought a new position in shares of Incyte during the second quarter worth approximately $37,000. Finally, SVB Wealth LLC acquired a new stake in shares of Incyte in the 1st quarter valued at $39,000. Institutional investors own 96.97% of the company's stock.

Incyte Company Profile

Incyte Corporation, a biopharmaceutical company, engages in the discovery, development, and commercialization of therapeutics for hematology/oncology, and inflammation and autoimmunity areas in the United States and internationally. The company offers JAKAFI (ruxolitinib) for treatment of intermediate or high-risk myelofibrosis, polycythemia vera, and steroid-refractory acute graft-versus-host disease; MONJUVI (tafasitamab-cxix)/MINJUVI (tafasitamab) for relapsed or refractory diffuse large B-cell lymphoma; PEMAZYRE (pemigatinib), a fibroblast growth factor receptor kinase inhibitor that act as oncogenic drivers in liquid and solid tumor types; ICLUSIG (ponatinib) to treat chronic myeloid leukemia and Philadelphia-chromosome positive acute lymphoblastic leukemia; and ZYNYZ (retifanlimab-dlwr) to treat adults with metastatic or recurrent locally advanced Merkel cell carcinoma, as well as OPZELURA cream for treatment of atopic dermatitis.