Nurix Therapeutics (NASDAQ:NRIX) Shares Gap Down After Analyst Downgrade

Key Points

• Nurix shares plunged, opening at $17.16 after closing at $25.82, amid news that Sanofi discontinued its Phase 1 trial and development of the partnered STAT6 degrader SAR448272.
• Wells Fargo cut its price target from $25 to $20 but maintained an overweight rating. Despite the downgrade, analysts overall rate NRIX “Moderate Buy,” with an average target of $34.43.
• Two insiders sold shares on October 30 to cover tax withholding on vested equity awards; insiders have sold 33,730 shares worth about $819,000 over the past 90 days.

Shares of Nurix Therapeutics, Inc. (NASDAQ:NRIX - Get Free Report) gapped down prior to trading on Wednesday after Wells Fargo & Company lowered their price target on the stock from $25.00 to $20.00. The stock had previously closed at $25.82, but opened at $17.16. Wells Fargo & Company currently has an overweight rating on the stock. Nurix Therapeutics shares last traded at $15.1510, with a volume of 2,143,441 shares changing hands.

A number of other brokerages have also recently commented on NRIX. Morgan Stanley lifted their price objective on Nurix Therapeutics from $36.00 to $38.00 and gave the stock an "overweight" rating in a research note on Tuesday, July 28th. Oppenheimer increased their target price on Nurix Therapeutics from $28.00 to $32.00 and gave the company an "outperform" rating in a research note on Tuesday, October 13th. Robert W. Baird raised their target price on Nurix Therapeutics from $33.00 to $36.00 and gave the stock an "outperform" rating in a report on Tuesday, October 13th. UBS Group boosted their target price on Nurix Therapeutics from $23.00 to $31.00 and gave the stock a "buy" rating in a research report on Wednesday, July 22nd. Finally, Stifel Nicolaus set a $41.00 price target on Nurix Therapeutics in a research note on Tuesday, October 13th. Fourteen research analysts have rated the stock with a Buy rating and one has given a Sell rating to the company's stock. According to MarketBeat.com, Nurix Therapeutics presently has a consensus rating of "Moderate Buy" and an average target price of $34.43.

Insiders Place Their Bets

In other Nurix Therapeutics news, CFO Hans van Houte sold 2,834 shares of the business's stock in a transaction dated Friday, October 30th. The stock was sold at an average price of $26.28, for a total value of $74,477.52. Following the completion of the transaction, the chief financial officer directly owned 47,514 shares of the company's stock, valued at approximately $1,248,667.92. The trade was a 5.63% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, insider Gwenn Hansen sold 3,957 shares of the stock in a transaction dated Friday, October 30th. The stock was sold at an average price of $26.28, for a total value of $103,989.96. Following the completion of the sale, the insider owned 123,452 shares of the company's stock, valued at $3,244,318.56. This trade represents a 3.11% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Over the last ninety days, insiders have sold 33,730 shares of company stock worth $819,106. Corporate insiders own 6.70% of the company's stock.

Trending Headlines about Nurix Therapeutics

Here are the key news stories impacting Nurix Therapeutics this week:

• Neutral Sentiment: Wells Fargo cut its price target on NRIX from $25 to $20 but maintained an “overweight” rating. The lower target reflects reduced expectations, while the retained rating signals the analyst still sees potential upside. Benzinga
• Negative Sentiment: Sanofi has discontinued its Phase 1 trial and terminated development of SAR448272, an oral STAT6 degrader developed with Nurix. The loss of the program raises concerns about Nurix’s partnered pipeline and is the main catalyst behind the selloff. Nurix-related coverage characterized the decision as not being due to a problem with the STAT6 target, but the program’s termination remains a setback. Nurix announcement on Sanofi’s decision BioSpace coverage

Institutional Inflows and Outflows

Institutional investors have recently bought and sold shares of the stock. GAMMA Investing LLC grew its position in Nurix Therapeutics by 95.4% during the third quarter. GAMMA Investing LLC now owns 1,270 shares of the company's stock worth $30,000 after buying an additional 620 shares in the last quarter. AlphaCentric Advisors LLC raised its holdings in Nurix Therapeutics by 4.5% in the 3rd quarter. AlphaCentric Advisors LLC now owns 27,006 shares of the company's stock valued at $640,000 after acquiring an additional 1,161 shares in the last quarter. Nykredit A S bought a new stake in shares of Nurix Therapeutics during the 2nd quarter valued at $32,000. Integrated Wealth Concepts LLC bought a new stake in shares of Nurix Therapeutics during the 2nd quarter valued at $33,000. Finally, Sterling Capital Management LLC grew its holdings in shares of Nurix Therapeutics by 310.4% during the 3rd quarter. Sterling Capital Management LLC now owns 2,885 shares of the company's stock worth $68,000 after purchasing an additional 2,182 shares in the last quarter.

Nurix Therapeutics Stock Performance

The company has a market capitalization of $1.68 billion, a price-to-earnings ratio of 6.68 and a beta of 1.80. The firm has a fifty day moving average price of $24.95 and a 200-day moving average price of $20.27.

Nurix Therapeutics (NASDAQ:NRIX - Get Free Report) last posted its quarterly earnings data on Tuesday, October 13th. The company reported $4.73 earnings per share for the quarter, topping the consensus estimate of ($0.60) by $5.33. Nurix Therapeutics had a net margin of 42.01% and a return on equity of 49.34%. The business had revenue of $673.06 million during the quarter, compared to analysts' expectations of $24.35 million. On average, sell-side analysts forecast that Nurix Therapeutics, Inc. will post 1.14 EPS for the current fiscal year.

Nurix Therapeutics Company Profile

Nurix Therapeutics, Inc is a clinical-stage biopharmaceutical company focused on developing medicines that regulate the activity and abundance of proteins involved in cancer and immune-related diseases. Its research is based on targeted protein modulation, including the use of the ubiquitin-proteasome system and E3 ligases to selectively eliminate or modify disease-causing proteins.

The company's pipeline includes oral targeted protein degraders and other small-molecule therapies. Its investigational programs include NX-5948, a Bruton's tyrosine kinase (BTK) degrader being studied in B-cell malignancies and autoimmune diseases, and NX-2127, an orally administered BTK degrader designed to combine BTK degradation with immune-system modulation.

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