Merus (NASDAQ:MRUS) Sees Large Volume Increase - Here's Why

Key Points

• Merus N.V. experienced a significant 64% increase in trading volume, with 1.7 million shares traded, while the stock price slightly rose to $93.75.
• Multiple research firms have downgraded Merus' stock ratings, with HC Wainwright lowering its target price from $135.00 to $97.00, reflecting a general bearish sentiment.
• Merus reported a quarterly loss of ($2.23) EPS, which was significantly below analysts' expectations, and had a revenue of $8.83 million, missing estimates by nearly $1 million.

Merus N.V. (NASDAQ:MRUS - Get Free Report) saw an uptick in trading volume on Tuesday . 1,703,044 shares were traded during trading, an increase of 64% from the previous session's volume of 1,037,461 shares.The stock last traded at $93.75 and had previously closed at $93.67.

Wall Street Analyst Weigh In

Several research firms have weighed in on MRUS. HC Wainwright downgraded shares of Merus from a "buy" rating to a "neutral" rating and dropped their target price for the stock from $135.00 to $97.00 in a research report on Monday. Barclays reissued an "equal weight" rating and set a $97.00 price target (down from $112.00) on shares of Merus in a report on Tuesday. Wall Street Zen downgraded shares of Merus from a "hold" rating to a "sell" rating in a report on Sunday, July 20th. Needham & Company LLC downgraded shares of Merus from a "buy" rating to a "hold" rating and set a $96.00 price target on the stock. in a report on Monday. Finally, Alliance Global Partners initiated coverage on shares of Merus in a report on Monday, August 25th. They set a "buy" rating and a $90.00 price target on the stock. Four research analysts have rated the stock with a Buy rating and twelve have assigned a Hold rating to the company. According to data from MarketBeat.com, Merus currently has an average rating of "Hold" and an average target price of $92.88.

Merus Stock Up 0.1%

The stock's 50-day moving average price is $67.16 and its 200 day moving average price is $54.84. The firm has a market capitalization of $7.09 billion, a price-to-earnings ratio of -17.04 and a beta of 1.19.

Merus (NASDAQ:MRUS - Get Free Report) last announced its earnings results on Tuesday, August 5th. The biotechnology company reported ($2.23) earnings per share for the quarter, missing the consensus estimate of ($1.17) by ($1.06). The company had revenue of $8.83 million for the quarter, compared to analysts' expectations of $9.77 million. Merus had a negative return on equity of 50.28% and a negative net margin of 685.64%. On average, sell-side analysts anticipate that Merus N.V. will post -3.85 earnings per share for the current year.

Insider Activity at Merus

In other news, COO Peter B. Silverman sold 25,000 shares of the firm's stock in a transaction that occurred on Thursday, July 17th. The shares were sold at an average price of $60.00, for a total value of $1,500,000.00. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at this hyperlink. Insiders have sold a total of 48,500 shares of company stock valued at $2,792,500 over the last ninety days. Company insiders own 3.70% of the company's stock.

Institutional Inflows and Outflows

Institutional investors have recently added to or reduced their stakes in the company. GF Fund Management CO. LTD. boosted its position in shares of Merus by 21.9% in the 1st quarter. GF Fund Management CO. LTD. now owns 1,753 shares of the biotechnology company's stock worth $74,000 after buying an additional 315 shares in the last quarter. Knights of Columbus Asset Advisors LLC lifted its holdings in shares of Merus by 2.7% during the 1st quarter. Knights of Columbus Asset Advisors LLC now owns 13,785 shares of the biotechnology company's stock worth $580,000 after acquiring an additional 361 shares during the period. Mirae Asset Global Investments Co. Ltd. lifted its holdings in shares of Merus by 15.7% during the 2nd quarter. Mirae Asset Global Investments Co. Ltd. now owns 2,674 shares of the biotechnology company's stock worth $141,000 after acquiring an additional 362 shares during the period. Avanza Fonder AB lifted its holdings in shares of Merus by 14.1% during the 2nd quarter. Avanza Fonder AB now owns 3,136 shares of the biotechnology company's stock worth $165,000 after acquiring an additional 387 shares during the period. Finally, Mitsubishi UFJ Asset Management Co. Ltd. lifted its holdings in shares of Merus by 9.1% during the 1st quarter. Mitsubishi UFJ Asset Management Co. Ltd. now owns 6,101 shares of the biotechnology company's stock worth $257,000 after acquiring an additional 511 shares during the period. Hedge funds and other institutional investors own 96.14% of the company's stock.

About Merus

Merus N.V., a clinical-stage immuno-oncology company, engages in the development of antibody therapeutics in the Netherlands. Its bispecific antibody candidate pipeline includes Zenocutuzumab (MCLA-128), which is in a phase 2 clinical trials for the treatment of patients with metastatic breast cancer and castration-resistant prostate cancer, as well as in Phase 1/2 clinical trials for the treatment of solid tumors that harbor Neuregulin 1.

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