Investors Purchase Large Volume of Larimar Therapeutics Call Options (NASDAQ:LRMR)

Key Points

• Unusual options activity: investors purchased 3,011 call options on Larimar Therapeutics (LRMR) in one day, roughly a 250% increase versus the typical daily call volume of 861.
• Large insider buy: director James E. Flynn acquired 5,000,000 shares at $5.00 each (approximately $25,000,000), boosting his holdings to 10,622,957 shares.
• Analyst sentiment is positive overall, with a consensus "Buy" rating and a consensus target price of $16.29 after several upgrades and target increases from firms including Citigroup and Leerink Partners.

Larimar Therapeutics, Inc. (NASDAQ:LRMR - Get Free Report) was the target of some unusual options trading on Friday. Stock traders purchased 3,011 call options on the company. This is an increase of approximately 250% compared to the typical daily volume of 861 call options.

Analysts Set New Price Targets

LRMR has been the topic of a number of recent analyst reports. Weiss Ratings restated a "sell (d-)" rating on shares of Larimar Therapeutics in a report on Thursday, January 22nd. Lifesci Capital raised Larimar Therapeutics to a "strong-buy" rating in a report on Tuesday, February 24th. Citigroup upped their price objective on Larimar Therapeutics from $12.00 to $14.00 and gave the company a "buy" rating in a report on Wednesday, February 25th. Leerink Partners upgraded Larimar Therapeutics to a "strong-buy" rating in a research report on Monday, January 5th. Finally, Wedbush lifted their target price on Larimar Therapeutics from $11.00 to $12.00 and gave the stock an "outperform" rating in a report on Tuesday, March 3rd. Two investment analysts have rated the stock with a Strong Buy rating, seven have given a Buy rating and one has given a Sell rating to the stock. Based on data from MarketBeat, Larimar Therapeutics currently has a consensus rating of "Buy" and a consensus target price of $16.29.

Larimar Therapeutics Price Performance

NASDAQ:LRMR traded down $0.19 during trading hours on Friday, reaching $4.59. 1,924,872 shares of the company were exchanged, compared to its average volume of 4,745,010. The company has a market capitalization of $474.96 million, a P/E ratio of -2.38 and a beta of 0.91. Larimar Therapeutics has a 1-year low of $1.61 and a 1-year high of $6.42. The business has a 50 day moving average of $3.82 and a 200 day moving average of $3.89.

Insider Transactions at Larimar Therapeutics

In related news, Director James E. Flynn bought 5,000,000 shares of the company's stock in a transaction that occurred on Friday, February 27th. The shares were acquired at an average price of $5.00 per share, for a total transaction of $25,000,000.00. Following the completion of the acquisition, the director owned 10,622,957 shares of the company's stock, valued at approximately $53,114,785. The trade was a 88.92% increase in their position. The transaction was disclosed in a filing with the SEC, which can be accessed through the SEC website. Insiders own 4.50% of the company's stock.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently bought and sold shares of LRMR. Deerfield Management Company L.P. grew its stake in shares of Larimar Therapeutics by 44.2% during the third quarter. Deerfield Management Company L.P. now owns 30,606,974 shares of the company's stock worth $98,861,000 after buying an additional 9,375,000 shares during the last quarter. Opaleye Management Inc. lifted its stake in shares of Larimar Therapeutics by 114.7% in the 2nd quarter. Opaleye Management Inc. now owns 4,110,000 shares of the company's stock valued at $11,878,000 after acquiring an additional 2,195,923 shares during the last quarter. Woodline Partners LP boosted its holdings in shares of Larimar Therapeutics by 160.6% during the 3rd quarter. Woodline Partners LP now owns 1,622,850 shares of the company's stock valued at $5,242,000 after acquiring an additional 1,000,168 shares in the last quarter. AIGH Capital Management LLC acquired a new stake in shares of Larimar Therapeutics during the 3rd quarter valued at $3,230,000. Finally, Blue Owl Capital Holdings LP grew its position in Larimar Therapeutics by 16.6% during the 4th quarter. Blue Owl Capital Holdings LP now owns 6,823,690 shares of the company's stock worth $25,998,000 after acquiring an additional 970,650 shares during the last quarter. Institutional investors and hedge funds own 91.92% of the company's stock.

About Larimar Therapeutics

Larimar Therapeutics, Inc, a clinical-stage biotechnology company, focuses on developing treatments for rare diseases using its novel cell penetrating peptide technology platform. Its lead product candidate is CTI-1601, which is in Phase 2 OLE clinical trial for the treatment of Friedreich's ataxia, a rare, progressive and fatal genetic disease. Larimar Therapeutics, Inc is based in Bala Cynwyd, Pennsylvania.

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