NewAmsterdam Pharma (NASDAQ:NAMS) Reaches New 52-Week Low on Insider Selling

Key Points

• NewAmsterdam Pharma shares fell to a new 52-week low, trading as low as $22.34 after closing at $25.63, amid elevated trading volume.
• Director John W. Smither sold 1,600 shares for approximately $40,512, reducing his direct ownership by 15.44%.
• Despite the selling pressure and a quarterly EPS miss, analysts maintain a generally bullish outlook, with a “Moderate Buy” consensus and an average price target of $49.73 versus recent trading levels.

NewAmsterdam Pharma Company N.V. (NASDAQ:NAMS - Get Free Report)'s share price hit a new 52-week low during trading on Thursday after an insider sold shares in the company. The stock traded as low as $22.34 and last traded at $22.79, with a volume of 2317943 shares changing hands. The stock had previously closed at $25.63.

Specifically, Director John W. Smither sold 1,600 shares of the stock in a transaction on Friday, September 4th. The stock was sold at an average price of $25.32, for a total transaction of $40,512.00. Following the completion of the transaction, the director directly owned 8,760 shares in the company, valued at approximately $221,803.20. This represents a 15.44% decrease in their position. The transaction was disclosed in a document filed with the SEC, which can be accessed through this hyperlink.

Wall Street Analysts Forecast Growth

Several analysts recently issued reports on NAMS shares. Weiss Ratings restated a "sell (d-)" rating on shares of NewAmsterdam Pharma in a report on Friday, July 17th. HC Wainwright reaffirmed a "buy" rating and set a $52.00 target price on shares of NewAmsterdam Pharma in a research note on Tuesday. Royal Bank Of Canada dropped their price target on shares of NewAmsterdam Pharma from $51.00 to $50.00 and set an "outperform" rating for the company in a research report on Thursday, August 6th. Jefferies Financial Group reissued a "buy" rating and issued a $45.00 price target on shares of NewAmsterdam Pharma in a research note on Monday, July 20th. Finally, BMO Capital Markets started coverage on shares of NewAmsterdam Pharma in a report on Monday, July 20th. They issued an "outperform" rating and a $58.00 price objective on the stock. One investment analyst has rated the stock with a Strong Buy rating, ten have issued a Buy rating, one has issued a Hold rating and one has given a Sell rating to the company. Based on data from MarketBeat, NewAmsterdam Pharma currently has an average rating of "Moderate Buy" and an average target price of $49.73.

Key Headlines Impacting NewAmsterdam Pharma

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

• Positive Sentiment: HC Wainwright reaffirmed its Buy rating on NewAmsterdam Pharma and maintained a $52 price target, implying substantial upside from recent trading levels. The bullish view supports the long-term investment case, although it has not prevented near-term selling pressure. Benzinga analyst rating report
• Neutral Sentiment: Recent analyst coverage discussed NewAmsterdam Pharma alongside other healthcare companies, including Dyne Therapeutics, Ionis Pharmaceuticals and Amgen. The reports may influence sector positioning, but the available headlines do not identify a new company-specific development for NAMS. Analyst insights on healthcare companies Analyst insights on Amgen and NewAmsterdam Pharma
• Negative Sentiment: Director John W. Smither sold 1,600 NAMS shares for approximately $40,512, reducing his position by 15.44%. While insider sales can be made for personal or financial reasons, the transaction may add to investor caution when the stock is already under pressure. SEC insider transaction filing
• Negative Sentiment: A sharp trial-related selloff in Novartis and resulting weakness in other biotechnology stocks has likely hurt sentiment toward the broader drug-development sector. The read-through is indirect for NAMS, but it may encourage investors to reduce risk across biotech holdings. Novartis trial-failure market impact

NewAmsterdam Pharma Stock Performance

The company has a 50 day moving average of $29.10 and a 200-day moving average of $31.37. The stock has a market cap of $2.72 billion, a price-to-earnings ratio of -10.55 and a beta of 0.09.

NewAmsterdam Pharma (NASDAQ:NAMS - Get Free Report) last announced its earnings results on Wednesday, August 5th. The company reported ($0.52) EPS for the quarter, missing analysts' consensus estimates of ($0.48) by ($0.04). The firm had revenue of $3.70 million for the quarter, compared to analysts' expectations of $2.83 million. NewAmsterdam Pharma had a negative net margin of 3,644.21% and a negative return on equity of 34.81%. On average, research analysts anticipate that NewAmsterdam Pharma Company N.V. will post -1.82 EPS for the current year.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently made changes to their positions in the business. Wells Fargo & Company MN increased its stake in NewAmsterdam Pharma by 50.0% during the 4th quarter. Wells Fargo & Company MN now owns 900 shares of the company's stock worth $32,000 after buying an additional 300 shares during the period. KBC Group NV purchased a new position in NewAmsterdam Pharma in the 1st quarter valued at approximately $37,000. Navalign LLC acquired a new position in shares of NewAmsterdam Pharma in the fourth quarter worth $46,000. AdvisorNet Financial Inc acquired a new position in shares of NewAmsterdam Pharma in the first quarter worth $82,000. Finally, Empowered Funds LLC purchased a new stake in shares of NewAmsterdam Pharma during the fourth quarter worth $85,000. Hedge funds and other institutional investors own 89.89% of the company's stock.

About NewAmsterdam Pharma

NewAmsterdam Pharma, Inc is a clinical‐stage biopharmaceutical company focused on discovering and developing novel small‐molecule therapies for cardiometabolic diseases. The company’s research efforts are aimed at addressing key unmet needs in metabolic syndrome, obesity and type 2 diabetes by modulating pathways involved in glucose regulation, energy homeostasis and lipid metabolism.

The company’s development pipeline features multiple small‐molecule candidates at various stages of preclinical and clinical evaluation.

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