Pacific Biosciences of California (NASDAQ:PACB) Stock Jumps 10.6% - Here's What Happened

Key Points

• PacBio shares jumped 10.6% to about $2.04 in Tuesday trading, despite volume running 36% below the average session level.
• Analyst sentiment remains cautious: the stock has an average “Reduce” rating and a $1.71 price target, with ratings split among one Buy, three Holds and two Sells.
• The company recently missed quarterly expectations, reporting a $0.14 loss per share versus the projected $0.13 loss and revenue of $39.01 million versus the $42.90 million estimate; institutional investors including BlackRock also established new positions.

Pacific Biosciences of California, Inc. (NASDAQ:PACB - Get Free Report)'s share price was up 10.6% during trading on Tuesday. The stock traded as high as $2.03 and last traded at $2.0350. 5,061,448 shares were traded during mid-day trading, a decline of 36% from the average session volume of 7,946,363 shares. The stock had previously closed at $1.84.

Analysts Set New Price Targets

Several research firms recently weighed in on PACB. Wall Street Zen downgraded Pacific Biosciences of California from a "hold" rating to a "sell" rating in a research report on Saturday, August 8th. Weiss Ratings raised Pacific Biosciences of California from a "sell (e+)" rating to a "sell (d-)" rating in a research note on Tuesday, October 13th. Finally, UBS Group started coverage on Pacific Biosciences of California in a report on Wednesday, September 9th. They issued a "neutral" rating and a $1.35 price target for the company. One investment analyst has rated the stock with a Buy rating, three have assigned a Hold rating and two have given a Sell rating to the company. According to MarketBeat, Pacific Biosciences of California has an average rating of "Reduce" and an average price target of $1.71.

Pacific Biosciences of California Trading Up 9.5%

The company has a market capitalization of $626.32 million, a PE ratio of -4.69 and a beta of 2.19. The company's 50 day moving average price is $1.62 and its 200-day moving average price is $1.51.

Pacific Biosciences of California (NASDAQ:PACB - Get Free Report) last issued its earnings results on Monday, August 3rd. The biotechnology company reported ($0.14) earnings per share for the quarter, missing analysts' consensus estimates of ($0.13) by ($0.01). Pacific Biosciences of California had a negative net margin of 82.49% and a negative return on equity of 5,752.12%. The firm had revenue of $39.01 million during the quarter, compared to analyst estimates of $42.90 million. As a group, analysts predict that Pacific Biosciences of California, Inc. will post -0.52 earnings per share for the current year.

Insider Transactions at Pacific Biosciences of California

In other news, insider James R. Gibson II sold 661,815 shares of the business's stock in a transaction dated Tuesday, October 6th. The stock was sold at an average price of $3.11, for a total transaction of $2,058,244.65. Following the completion of the sale, the insider owned 1,083,848 shares in the company, valued at approximately $3,370,767.28. The trade was a 37.91% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Mark Van Oene sold 26,911 shares of the business's stock in a transaction dated Monday, August 17th. The stock was sold at an average price of $1.13, for a total value of $30,409.43. Following the sale, the insider owned 2,705,853 shares of the company's stock, valued at $3,057,613.89. The trade was a 0.98% decrease in their position. The SEC filing for this sale provides additional information. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Company insiders own 3.70% of the company's stock.

Institutional Trading of Pacific Biosciences of California

A number of institutional investors and hedge funds have recently bought and sold shares of the business. Hhlr Advisors LTD. acquired a new position in shares of Pacific Biosciences of California during the 2nd quarter valued at $1,544,000. BlackRock Inc. acquired a new stake in Pacific Biosciences of California in the 2nd quarter valued at $54,330,000. Bank of America Corp DE acquired a new stake in Pacific Biosciences of California in the 2nd quarter valued at $2,265,000. Bank of New York Mellon Corp acquired a new stake in Pacific Biosciences of California in the 2nd quarter valued at $1,290,000. Finally, Man Group plc purchased a new position in Pacific Biosciences of California in the second quarter valued at about $1,004,000.

Pacific Biosciences of California Company Profile

Pacific Biosciences of California, Inc develops and sells advanced genetic sequencing technologies. The company's platform is based on single-molecule, real-time (SMRT) sequencing, which is designed to produce highly accurate, long DNA reads. These reads can help researchers identify genetic variation, assemble genomes, and analyze complex biological systems that may be difficult to study using short-read sequencing methods.

PacBio's product portfolio includes the Revio and Sequel IIe sequencing systems, SMRT Cells and other consumables, library-preparation products, and software for instrument operation, data analysis, and interpretation.

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