Phathom Pharmaceuticals (NASDAQ:PHAT) Stock Price Down 16.2% After Earnings Miss

Key Points

• Shares fell 16.2% intraday after the report, trading as low as $9.87 and last at $9.8760 versus a prior close of $11.78, on volume about 76% below the average session.
• The company posted quarterly EPS of ($0.18), missing the ($0.17) consensus by $0.01, and reported revenue of $58.3 million versus estimates of $58.62 million.
• Analysts are mixed but generally positive with an average rating of "Moderate Buy" and an average target of $22.50 (several firms raised targets), while institutional ownership is very high at about 99% with recent notable purchases.

Phathom Pharmaceuticals, Inc. (NASDAQ:PHAT - Get Free Report)'s share price fell 16.2% during mid-day trading on Thursday following a dissappointing earnings announcement. The stock traded as low as $9.87 and last traded at $9.8760. 283,918 shares traded hands during trading, a decline of 76% from the average session volume of 1,165,009 shares. The stock had previously closed at $11.78.

The company reported ($0.18) EPS for the quarter, missing the consensus estimate of ($0.17) by ($0.01). The business had revenue of $58.30 million for the quarter, compared to analyst estimates of $58.62 million.

Analysts Set New Price Targets

Several research firms have commented on PHAT. Stifel Nicolaus set a $28.00 price objective on shares of Phathom Pharmaceuticals in a report on Thursday, February 26th. Guggenheim upped their price objective on shares of Phathom Pharmaceuticals from $20.00 to $25.00 and gave the company a "buy" rating in a report on Friday, February 27th. Barclays raised shares of Phathom Pharmaceuticals from an "equal weight" rating to an "overweight" rating and upped their price objective for the company from $16.00 to $18.00 in a report on Friday, March 27th. Cantor Fitzgerald reaffirmed an "overweight" rating on shares of Phathom Pharmaceuticals in a report on Wednesday, January 14th. Finally, Weiss Ratings reaffirmed a "sell (d-)" rating on shares of Phathom Pharmaceuticals in a report on Tuesday, April 21st. One investment analyst has rated the stock with a Strong Buy rating, six have issued a Buy rating, one has assigned a Hold rating and one has given a Sell rating to the company. According to data from MarketBeat, the company currently has an average rating of "Moderate Buy" and an average target price of $22.50.

Institutional Investors Weigh In On Phathom Pharmaceuticals

Institutional investors and hedge funds have recently bought and sold shares of the stock. AIGH Capital Management LLC purchased a new stake in Phathom Pharmaceuticals in the third quarter valued at approximately $5,049,000. Hennion & Walsh Asset Management Inc. purchased a new stake in Phathom Pharmaceuticals in the fourth quarter valued at approximately $1,908,000. GW&K Investment Management LLC raised its stake in Phathom Pharmaceuticals by 9.1% in the third quarter. GW&K Investment Management LLC now owns 1,144,330 shares of the company's stock valued at $13,469,000 after purchasing an additional 95,858 shares in the last quarter. GSA Capital Partners LLP purchased a new stake in Phathom Pharmaceuticals in the third quarter valued at approximately $827,000. Finally, Stratos Wealth Partners LTD. purchased a new stake in Phathom Pharmaceuticals in the fourth quarter valued at approximately $834,000. 99.01% of the stock is owned by hedge funds and other institutional investors.

Phathom Pharmaceuticals Price Performance

The business's 50 day moving average is $11.54 and its two-hundred day moving average is $13.44. The firm has a market capitalization of $840.77 million, a PE ratio of -3.44 and a beta of 0.61.

About Phathom Pharmaceuticals

Phathom Pharmaceuticals is a clinical‐stage biopharmaceutical company focused on developing and commercializing novel treatments for gastrointestinal (GI) diseases. The company's core mission centers on addressing serious GI disorders by leveraging innovative mechanisms of action to improve patient outcomes. Phathom's research and development efforts concentrate on conditions such as Helicobacter pylori infection, erosive esophagitis, gastroparesis and other functional GI disorders where significant unmet medical needs persist.

The company's lead asset is vonoprazan, a potassium‐competitive acid blocker (P-CAB) licensed for use in the United States.

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