NewAmsterdam Pharma (NASDAQ:NAMS) Hits New 12-Month High - Should You Buy?

Key Points

• NewAmsterdam Pharma shares have reached a new 12-month high of $27.35, reflecting strong trading activity with over 2.25 million shares exchanged.
• Wall Street analysts are optimistic about the stock, with nine analysts rating it as a Buy and average price targets ranging from $27.00 to $45.00, leading to a consensus price target of $41.55.
• In its latest quarterly earnings report, NewAmsterdam Pharma exceeded expectations, reporting a revenue of $19.15 million and an earnings per share of ($0.15), beating analyst estimates significantly.

NewAmsterdam Pharma Company N.V. (NASDAQ:NAMS - Get Free Report)'s share price reached a new 52-week high on Friday . The company traded as high as $27.35 and last traded at $26.60, with a volume of 2254819 shares trading hands. The stock had previously closed at $26.90.

Analyst Ratings Changes

NAMS has been the topic of a number of analyst reports. The Goldman Sachs Group initiated coverage on NewAmsterdam Pharma in a research note on Thursday, July 17th. They issued a "neutral" rating and a $27.00 price target on the stock. Stifel Nicolaus initiated coverage on NewAmsterdam Pharma in a report on Tuesday, June 10th. They set a "buy" rating and a $44.00 price objective for the company. Royal Bank Of Canada lifted their price objective on NewAmsterdam Pharma from $38.00 to $39.00 and gave the stock an "outperform" rating in a report on Thursday, August 7th. Wall Street Zen raised NewAmsterdam Pharma from a "sell" rating to a "hold" rating in a report on Saturday, July 5th. Finally, Wells Fargo & Company initiated coverage on NewAmsterdam Pharma in a report on Monday, August 25th. They set an "overweight" rating and a $45.00 price objective for the company. Nine investment analysts have rated the stock with a Buy rating and one has issued a Hold rating to the company's stock. According to data from MarketBeat, the company presently has a consensus rating of "Moderate Buy" and an average target price of $41.55.

NewAmsterdam Pharma Stock Up 2.0%

The company has a market capitalization of $2.82 billion, a price-to-earnings ratio of -15.39 and a beta of -0.01. The stock has a fifty day moving average price of $23.85 and a two-hundred day moving average price of $20.86.

NewAmsterdam Pharma (NASDAQ:NAMS - Get Free Report) last released its quarterly earnings results on Wednesday, August 6th. The company reported ($0.15) earnings per share for the quarter, topping analysts' consensus estimates of ($0.52) by $0.37. The company had revenue of $19.15 million during the quarter, compared to analysts' expectations of $1.44 million. NewAmsterdam Pharma had a negative return on equity of 27.27% and a negative net margin of 259.07%. As a group, research analysts forecast that NewAmsterdam Pharma Company N.V. will post -1.75 earnings per share for the current fiscal year.

Insiders Place Their Bets

In related news, insider Johannes Jacob Piete Kastelein sold 50,000 shares of the company's stock in a transaction on Thursday, August 21st. The stock was sold at an average price of $24.29, for a total value of $1,214,500.00. Following the completion of the transaction, the insider directly owned 119,302 shares in the company, valued at approximately $2,897,845.58. This represents a 29.53% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which can be accessed through the SEC website. Also, Director James N. Topper bought 2,520 shares of the company's stock in a transaction that occurred on Tuesday, June 24th. The stock was acquired at an average price of $18.43 per share, with a total value of $46,443.60. Following the completion of the purchase, the director directly owned 3,024,873 shares of the company's stock, valued at approximately $55,748,409.39. The trade was a 0.08% increase in their position. The disclosure for this purchase can be found here. Over the last ninety days, insiders have bought 5,511 shares of company stock valued at $112,233 and have sold 324,954 shares valued at $7,844,906. 20.84% of the stock is currently owned by insiders.

Institutional Investors Weigh In On NewAmsterdam Pharma

A number of institutional investors have recently added to or reduced their stakes in the company. China Universal Asset Management Co. Ltd. grew its position in NewAmsterdam Pharma by 2.4% during the second quarter. China Universal Asset Management Co. Ltd. now owns 22,549 shares of the company's stock valued at $408,000 after acquiring an additional 521 shares during the period. The Manufacturers Life Insurance Company grew its position in NewAmsterdam Pharma by 5.3% during the second quarter. The Manufacturers Life Insurance Company now owns 10,868 shares of the company's stock valued at $197,000 after acquiring an additional 544 shares during the period. Mirae Asset Global Investments Co. Ltd. grew its position in NewAmsterdam Pharma by 19.4% during the first quarter. Mirae Asset Global Investments Co. Ltd. now owns 3,675 shares of the company's stock valued at $80,000 after acquiring an additional 596 shares during the period. Quarry LP purchased a new stake in NewAmsterdam Pharma during the first quarter valued at about $25,000. Finally, BNP Paribas Financial Markets boosted its position in shares of NewAmsterdam Pharma by 4.5% in the second quarter. BNP Paribas Financial Markets now owns 29,277 shares of the company's stock worth $530,000 after buying an additional 1,257 shares during the period. Hedge funds and other institutional investors own 89.89% of the company's stock.

About NewAmsterdam Pharma

NewAmsterdam Pharma Company N.V., a late-stage biopharmaceutical company, develops therapies to enhance patient care in populations with metabolic disease. It is developing obicetrapib, an oral low-dose cholesteryl ester transfer protein (CETP) inhibitor, that is in various clinical trials as a monotherapy and a combination therapy with ezetimibe for lowering LDL-C for cardiovascular diseases.