Axsome Therapeutics (NASDAQ:AXSM) Stock Price Down 6.8% - Time to Sell?

Key Points

• Axsome Therapeutics shares fell 6.8% to about $145.50, trading well below the 50-day and 200-day moving averages of $193.08 and $212.61, respectively.
• Despite the decline, analysts maintain a “Moderate Buy” consensus, with 18 of 21 analysts rating the stock Buy or Strong Buy and an average price target of $275.74.
• The company recently missed quarterly earnings and revenue expectations, while insiders sold roughly $12.6 million in shares over the past 90 days, adding potential caution for investors.

Axsome Therapeutics, Inc. (NASDAQ:AXSM - Get Free Report)'s share price was down 6.8% on Friday. The company traded as low as $145.57 and last traded at $145.5010. Approximately 314,583 shares traded hands during mid-day trading, a decline of 58% from the average session volume of 757,154 shares. The stock had previously closed at $156.07.

Wall Street Analysts Forecast Growth

Several brokerages have commented on AXSM. Deutsche Bank Aktiengesellschaft cut their price target on shares of Axsome Therapeutics from $280.00 to $267.00 and set a "buy" rating on the stock in a research report on Tuesday, September 29th. Morgan Stanley decreased their price target on Axsome Therapeutics from $251.00 to $247.00 and set an "equal weight" rating for the company in a research note on Friday, September 25th. Truist Financial upped their price objective on Axsome Therapeutics from $200.00 to $285.00 and gave the stock a "buy" rating in a research note on Wednesday, September 23rd. HC Wainwright reissued a "buy" rating on shares of Axsome Therapeutics in a report on Friday, September 25th. Finally, Wells Fargo & Company raised their target price on shares of Axsome Therapeutics from $255.00 to $256.00 and gave the company an "overweight" rating in a research note on Tuesday, August 11th. One research analyst has rated the stock with a Strong Buy rating, seventeen have assigned a Buy rating, two have given a Hold rating and one has given a Sell rating to the company. Based on data from MarketBeat, the company currently has an average rating of "Moderate Buy" and an average target price of $275.74.

Axsome Therapeutics Trading Down 6.4%

The business has a 50-day simple moving average of $193.08 and a two-hundred day simple moving average of $212.61. The stock has a market cap of $7.65 billion, a price-to-earnings ratio of -38.94 and a beta of 0.86. The company has a debt-to-equity ratio of 1.52, a current ratio of 1.43 and a quick ratio of 1.34.

Axsome Therapeutics (NASDAQ:AXSM - Get Free Report) last released its quarterly earnings data on Monday, August 10th. The company reported ($0.99) earnings per share (EPS) for the quarter, missing analysts' consensus estimates of ($0.89) by ($0.10). The business had revenue of $218.38 million during the quarter, compared to analyst estimates of $221.11 million. Axsome Therapeutics had a negative net margin of 24.68% and a negative return on equity of 265.55%. Equities analysts forecast that Axsome Therapeutics, Inc. will post -2.96 EPS for the current fiscal year.

Insiders Place Their Bets

In other Axsome Therapeutics news, COO Mark Jacobson sold 10,000 shares of the company's stock in a transaction on Thursday, September 3rd. The shares were sold at an average price of $208.65, for a total value of $2,086,500.00. Following the transaction, the chief operating officer directly owned 10,000 shares in the company, valued at $2,086,500. The trade was a 50.00% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at this hyperlink. Also, CEO Herriot Tabuteau sold 45,004 shares of the stock in a transaction dated Wednesday, August 5th. The shares were sold at an average price of $212.01, for a total transaction of $9,541,298.04. Following the completion of the transaction, the chief executive officer directly owned 7,229 shares in the company, valued at $1,532,620.29. The trade was a 86.16% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Over the last ninety days, insiders have sold 59,664 shares of company stock valued at $12,624,805. Company insiders own 20.60% of the company's stock.

Hedge Funds Weigh In On Axsome Therapeutics

Large investors have recently made changes to their positions in the company. BlackRock Inc. acquired a new stake in Axsome Therapeutics in the 2nd quarter worth about $759,695,000. ABS Investment Management LLC acquired a new position in Axsome Therapeutics in the 2nd quarter valued at $171,339,000. Assenagon Asset Management S.A. raised its holdings in Axsome Therapeutics by 85.0% in the 1st quarter. Assenagon Asset Management S.A. now owns 865,958 shares of the company's stock valued at $146,364,000 after acquiring an additional 397,976 shares in the last quarter. Bank of America Corp DE bought a new stake in shares of Axsome Therapeutics during the 2nd quarter valued at $110,756,000. Finally, First Trust Advisors LP lifted its position in shares of Axsome Therapeutics by 1,230.2% during the 1st quarter. First Trust Advisors LP now owns 577,479 shares of the company's stock valued at $97,606,000 after acquiring an additional 534,066 shares during the period. Institutional investors own 81.49% of the company's stock.

About Axsome Therapeutics

Axsome Therapeutics, Inc is a biopharmaceutical company focused on developing and commercializing therapies for central nervous system (CNS) disorders. Founded in 2012 and headquartered in New York, the company develops medicines for conditions with significant unmet medical needs, including depression, narcolepsy, excessive daytime sleepiness, and other neurological disorders.

Axsome's commercial products include Auvelity (dextromethorphan and bupropion), an oral treatment approved in the United States for major depressive disorder in adults, and Sunosi (solriamfetol), a therapy for excessive daytime sleepiness associated with narcolepsy or obstructive sleep apnea.

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.