Avalo Therapeutics (NASDAQ:AVTX) Hits New 52-Week Low - What's Next?

Key Points

• Avalo Therapeutics shares hit a new 52-week low, falling to $11.99 from a prior close of $13.24; the stock’s 50-day and 200-day moving averages were $17.41 and $16.89, respectively.
• Analyst sentiment remains broadly positive, with 12 Buy ratings and one Sell rating and a consensus target price of $45.10, although some analysts recently lowered their ratings or targets.
• The company missed quarterly earnings expectations, reporting an adjusted loss of $0.83 per share versus the anticipated $0.58 loss. Insiders sold shares recently, while institutional investors own 87.06% of the stock.

Shares of Avalo Therapeutics, Inc. (NASDAQ:AVTX - Get Free Report) reached a new 52-week low on Wednesday. The company traded as low as $11.99 and last traded at $12.01, with a volume of 1,648,996 shares. The stock had previously closed at $13.24.

Analysts Set New Price Targets

A number of equities research analysts recently weighed in on the company. Wall Street Zen cut Avalo Therapeutics from a "hold" rating to a "sell" rating in a research note on Saturday, September 12th. Guggenheim set a $48.00 price objective on shares of Avalo Therapeutics and gave the stock a "buy" rating in a research report on Friday, August 7th. Leerink Partners started coverage on shares of Avalo Therapeutics in a report on Monday, July 6th. They issued an "outperform" rating and a $38.00 price objective on the stock. BTIG Research reissued a "buy" rating and issued a $58.00 price objective on shares of Avalo Therapeutics in a research report on Tuesday, June 16th. Finally, Weiss Ratings raised shares of Avalo Therapeutics from a "sell (e+)" rating to a "sell (d-)" rating in a research report on Tuesday, August 11th. Twelve analysts have rated the stock with a Buy rating and one has assigned a Sell rating to the stock. According to data from MarketBeat, Avalo Therapeutics currently has a consensus rating of "Moderate Buy" and a consensus target price of $45.10.

Avalo Therapeutics Stock Performance

The company has a fifty day moving average of $17.41 and a two-hundred day moving average of $16.89.

Avalo Therapeutics (NASDAQ:AVTX - Get Free Report) last released its quarterly earnings results on Thursday, August 6th. The company reported ($0.83) earnings per share (EPS) for the quarter, missing the consensus estimate of ($0.58) by ($0.25). Analysts predict that Avalo Therapeutics, Inc. will post -2.80 earnings per share for the current year.

Insider Buying and Selling at Avalo Therapeutics

In other news, CFO Christopher Sullivan sold 12,394 shares of the business's stock in a transaction dated Wednesday, September 16th. The shares were sold at an average price of $16.33, for a total value of $202,394.02. Following the completion of the sale, the chief financial officer owned 39,900 shares of the company's stock, valued at approximately $651,567. The trade was a 23.70% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold a total of 24,258 shares of company stock worth $415,434 over the last three months. 4.46% of the stock is currently owned by company insiders.

Institutional Trading of Avalo Therapeutics

Several hedge funds and other institutional investors have recently bought and sold shares of the business. AlphaCentric Advisors LLC acquired a new stake in shares of Avalo Therapeutics in the first quarter valued at approximately $174,000. Glenmede Trust Co. NA boosted its stake in shares of Avalo Therapeutics by 25.8% in the first quarter. Glenmede Trust Co. NA now owns 25,730 shares of the company's stock valued at $384,000 after buying an additional 5,280 shares during the period. Dimensional Fund Advisors LP bought a new stake in shares of Avalo Therapeutics in the first quarter valued at approximately $607,000. Artia Global Partners LP acquired a new stake in Avalo Therapeutics during the fourth quarter worth approximately $755,000. Finally, 683 Capital Management LLC acquired a new stake in Avalo Therapeutics during the fourth quarter worth approximately $1,032,000. Institutional investors and hedge funds own 87.06% of the company's stock.

Avalo Therapeutics Company Profile

Avalo Therapeutics, Inc is a clinical-stage biotechnology company focused on developing therapies for immune-mediated diseases. The company's research strategy centers on addressing conditions in which abnormal immune-system activity contributes to inflammation and tissue damage.

Avalo's lead product candidate is AVTX-009, a fully human monoclonal antibody designed to neutralize interleukin-1 beta, a pro-inflammatory cytokine involved in several inflammatory disorders. The company is evaluating AVTX-009 in clinical development for hidradenitis suppurativa, a chronic inflammatory skin condition, and may pursue additional indications in which interleukin-1 beta plays a role.

The company was formerly known as Cerecor Inc and adopted the Avalo Therapeutics name as it shifted its strategic focus toward immunology and inflammation.

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