Morgan Stanley Has Lowered Expectations for BridgeBio Pharma (NASDAQ:BBIO) Stock Price

Key Points

• Morgan Stanley lowered BridgeBio Pharma’s price target from $98 to $97 while maintaining an “overweight” rating, implying 15.59% upside from the prior close. Analysts overall give the stock a “Moderate Buy” rating with a consensus target of $99.28.
• BridgeBio’s latest quarter showed strong revenue growth: revenue rose 120.4% year over year to $243.68 million, exceeding estimates, but the company reported a wider-than-expected loss of $0.78 per share.
• BBIO shares closed at $83.92, down $0.76, while insiders sold roughly $29.9 million of stock over the past 90 days. Institutional investors continue to hold nearly all shares, with ownership at 99.85%.

BridgeBio Pharma (NASDAQ:BBIO - Get Free Report) had its target price dropped by investment analysts at Morgan Stanley from $98.00 to $97.00 in a note issued to investors on Tuesday,Benzinga reports. The brokerage currently has an "overweight" rating on the stock. Morgan Stanley's target price suggests a potential upside of 15.59% from the stock's previous close.

A number of other analysts have also commented on BBIO. Wells Fargo & Company lifted their target price on shares of BridgeBio Pharma from $98.00 to $102.00 and gave the stock an "overweight" rating in a report on Tuesday. Mizuho cut their price target on BridgeBio Pharma from $106.00 to $96.00 and set an "outperform" rating on the stock in a research note on Tuesday, June 16th. Citigroup lifted their price objective on BridgeBio Pharma from $82.00 to $93.00 and gave the stock a "neutral" rating in a research note on Thursday, July 16th. Raymond James Financial downgraded BridgeBio Pharma from an "outperform" rating to a "market perform" rating in a report on Tuesday, May 26th. Finally, Canaccord Genuity Group assumed coverage on BridgeBio Pharma in a report on Wednesday, June 3rd. They set a "buy" rating and a $104.00 target price on the stock. Nineteen investment analysts have rated the stock with a Buy rating, two have issued a Hold rating and one has assigned a Sell rating to the company's stock. According to data from MarketBeat.com, BridgeBio Pharma has an average rating of "Moderate Buy" and a consensus target price of $99.28.

BridgeBio Pharma Stock Performance

NASDAQ:BBIO traded down $0.76 on Tuesday, hitting $83.92. 990,910 shares of the stock were exchanged, compared to its average volume of 2,991,225. BridgeBio Pharma has a 52 week low of $46.81 and a 52 week high of $93.42. The stock has a market capitalization of $16.40 billion, a price-to-earnings ratio of -22.45 and a beta of 0.96. The company's 50-day moving average price is $76.07 and its 200 day moving average price is $73.03.

BridgeBio Pharma (NASDAQ:BBIO - Get Free Report) last issued its quarterly earnings results on Monday, August 10th. The company reported ($0.78) EPS for the quarter, missing the consensus estimate of ($0.58) by ($0.20). The firm had revenue of $243.68 million for the quarter, compared to the consensus estimate of $220.91 million. BridgeBio Pharma's revenue for the quarter was up 120.4% compared to the same quarter last year. During the same period last year, the company posted ($0.95) EPS. As a group, equities research analysts predict that BridgeBio Pharma will post -2.31 earnings per share for the current year.

Insider Buying and Selling

In other BridgeBio Pharma news, CAO Maricel Apuli sold 2,000 shares of the stock in a transaction dated Thursday, July 30th. The stock was sold at an average price of $80.06, for a total value of $160,120.00. Following the completion of the sale, the chief accounting officer directly owned 127,401 shares in the company, valued at $10,199,724.06. This represents a 1.55% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Andrea Ellis sold 17,167 shares of the firm's stock in a transaction dated Thursday, July 9th. The stock was sold at an average price of $84.00, for a total value of $1,442,028.00. Following the sale, the director directly owned 22,579 shares in the company, valued at approximately $1,896,636. This represents a 43.19% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last ninety days, insiders sold 392,117 shares of company stock valued at $29,934,700. 14.23% of the stock is owned by company insiders.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently made changes to their positions in the stock. E Fund Management Co. Ltd. bought a new stake in BridgeBio Pharma in the 2nd quarter valued at $452,000. Meeder Advisory Services Inc. bought a new position in BridgeBio Pharma during the 2nd quarter worth about $272,000. Mitsubishi UFJ Asset Management Co. Ltd. acquired a new stake in shares of BridgeBio Pharma in the 2nd quarter valued at about $44,000. OneDigital Investment Advisors LLC bought a new stake in shares of BridgeBio Pharma in the second quarter valued at about $241,000. Finally, Global Retirement Partners LLC acquired a new position in shares of BridgeBio Pharma during the second quarter worth about $95,000. Institutional investors and hedge funds own 99.85% of the company's stock.

Key Headlines Impacting BridgeBio Pharma

Here are the key news stories impacting BridgeBio Pharma this week:

• Positive Sentiment: Analysts raise targets: Piper Sandler increased its price target from $111 to $115 and maintained an “overweight” rating. Wells Fargo also raised its target, from $98 to $102, while keeping an “overweight” rating. The revisions imply substantial potential upside and reflect continued confidence in BridgeBio’s development pipeline. Benzinga analyst price-target updates
• Positive Sentiment: Pipeline catalysts could drive sentiment: BridgeBio is listed among biotech companies with major second-half 2026 catalysts, including potential regulatory decisions and late-stage clinical-trial readouts. Positive data or approvals could provide important valuation catalysts for BBIO. 4 Biotech Stocks With Major Second-Half Pipeline Catalysts This Year
• Neutral Sentiment: Revenue growth was strong: Second-quarter revenue reached $243.7 million, beating the $220.9 million consensus estimate and increasing 120.4% from the prior year. The improvement suggests commercial and partnered-product activity is expanding, although investors remain focused on the company’s path toward profitability. BridgeBio Pharma Reports Q2 Loss, Tops Revenue Estimates
• Negative Sentiment: Quarterly loss exceeded expectations: BridgeBio reported a second-quarter loss of $0.78 per share, wider than the $0.58 analyst consensus, despite improving from a $0.95 loss per share a year earlier. The earnings miss may limit the stock’s near-term upside and reinforce concerns about ongoing cash needs and operating costs. BridgeBio Pharma Q2 Earnings Results and Conference Call

About BridgeBio Pharma

BridgeBio Pharma, Inc is a clinical-stage biopharmaceutical company headquartered in Palo Alto, California. Founded in 2015 by Neil Kumar, the company is dedicated to discovering, developing and delivering transformative medicines for patients with genetic diseases and cancers. BridgeBio operates an integrated model that spans target identification, preclinical research, clinical development and commercialization, aiming to streamline the process from bench to bedside.

BridgeBio's pipeline comprises multiple therapeutic modalities, including small molecules, biologics and genetic therapies.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.

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