Precigen (NASDAQ:PGEN) Stock Price Down 15.9% - Time to Sell?

Key Points

• Precigen shares dropped 15.9% in Thursday’s trading, falling from $5.05 to about $4.25 despite trading volume below its average.
• Third-quarter revenue rose sharply to $74.1 million, beating the cited $71.6 million estimate; PAPZIMEOS revenue increased 37% sequentially to $72.9 million, and the company reported positive cash flow ahead of guidance.
• Analyst sentiment remains broadly positive: Precigen has a “Moderate Buy” consensus rating and a $13.50 average price target. The FDA also granted its AdenoVerse platform a technology designation, while longer-term data showed durable PAPZIMEOS responses.

Precigen, Inc. (NASDAQ:PGEN - Get Free Report) shares fell 15.9% during mid-day trading on Thursday. The company traded as low as $4.10 and last traded at $4.2460. 3,990,953 shares changed hands during trading, a decline of 17% from the average session volume of 4,823,642 shares. The stock had previously closed at $5.05.

Key Headlines Impacting Precigen

Here are the key news stories impacting Precigen this week:

• Positive Sentiment: PAPZIMEOS revenue increased 37% sequentially to $72.9 million, bringing launch-to-date product revenue to $151 million. Precigen also reported positive third-quarter cash flow a quarter ahead of its guidance and $35.8 million in net income. Precigen Q3 results
• Positive Sentiment: Revenue of $74.1 million exceeded the cited $71.5 million estimate, and EPS of $0.08 beat the $0.06 consensus cited by some reports. Citizens JMP raised its price target to $12 from $11 and maintained a “market outperform” rating, signaling analyst confidence in potential upside. Citizens forecast and rating
• Positive Sentiment: The FDA granted platform technology designation to Precigen’s AdenoVerse platform, while longer-term follow-up data showed durable complete responses after PAPZIMEOS treatment for up to five years. These developments could support future product development and confidence in the therapy. Precigen business updates
• Neutral Sentiment: EPS estimate comparisons differ: one report said $0.08 missed Zacks’ $0.09 consensus, despite beating the $0.06 estimate cited elsewhere. This conflicting benchmark may temper the otherwise favorable revenue and operating news. Zacks earnings report

Analyst Ratings Changes

Several research firms have recently issued reports on PGEN. B. Riley Financial initiated coverage on shares of Precigen in a research note on Friday, September 25th. They issued a "buy" rating and a $12.00 target price for the company. Citizens Jmp boosted their price target on shares of Precigen from $11.00 to $12.00 and gave the stock a "market outperform" rating in a report on Thursday. HC Wainwright upped their price objective on shares of Precigen from $14.00 to $18.00 and gave the stock a "buy" rating in a research report on Wednesday, August 5th. Wall Street Zen lowered shares of Precigen from a "strong-buy" rating to a "buy" rating in a research note on Saturday, October 31st. Finally, Raymond James Financial set a $12.00 price objective on shares of Precigen in a research note on Thursday. Four equities research analysts have rated the stock with a Buy rating, one has given a Hold rating and one has assigned a Sell rating to the company's stock. According to MarketBeat.com, Precigen presently has an average rating of "Moderate Buy" and a consensus target price of $13.50.

Precigen Stock Performance

The company's 50-day moving average is $7.09 and its two-hundred day moving average is $5.28. The company has a quick ratio of 3.89, a current ratio of 4.58 and a debt-to-equity ratio of 2.15. The company has a market cap of $1.45 billion, a P/E ratio of -3.90 and a beta of 1.01.

Precigen (NASDAQ:PGEN - Get Free Report) last released its earnings results on Wednesday, November 4th. The biotechnology company reported $0.08 earnings per share for the quarter, beating analysts' consensus estimates of $0.06 by $0.02. Precigen had a negative net margin of 183.98% and a positive return on equity of 423.75%. The firm had revenue of $74.15 million during the quarter, compared to the consensus estimate of $71.55 million. During the same period in the prior year, the firm earned ($1.06) EPS. The company's revenue was up 2437.6% compared to the same quarter last year. Equities analysts predict that Precigen, Inc. will post 0.23 EPS for the current year.

Insider Buying and Selling at Precigen

In other Precigen news, Director Jeffrey Kindler sold 185,000 shares of the business's stock in a transaction on Wednesday, August 26th. The stock was sold at an average price of $7.44, for a total value of $1,376,400.00. Following the sale, the director directly owned 17,100 shares in the company, valued at $127,224. The trade was a 91.54% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available through the SEC website. Also, COO Rutul Shah sold 34,658 shares of the company's stock in a transaction on Friday, August 21st. The shares were sold at an average price of $7.50, for a total value of $259,935.00. Following the transaction, the chief operating officer directly owned 465,012 shares in the company, valued at $3,487,590. This represents a 6.94% decrease in their position. The disclosure for this sale is available in the SEC filing. 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 three months, insiders have sold 235,000 shares of company stock valued at $1,751,400. 41.40% of the stock is owned by corporate insiders.

Institutional Investors Weigh In On Precigen

Several institutional investors have recently added to or reduced their stakes in the business. State of Wyoming bought a new stake in shares of Precigen during the 1st quarter valued at $27,000. Royal Bank of Canada boosted its stake in Precigen by 102.6% in the 1st quarter. Royal Bank of Canada now owns 10,714 shares of the biotechnology company's stock worth $41,000 after purchasing an additional 5,426 shares during the period. Chicago Partners Investment Group LLC bought a new position in Precigen in the 1st quarter worth about $43,000. Carolina Wealth Advisors LLC purchased a new position in Precigen during the 3rd quarter valued at about $46,000. Finally, Y Intercept Hong Kong Ltd purchased a new position in Precigen during the 1st quarter valued at about $49,000. 33.51% of the stock is owned by hedge funds and other institutional investors.

About Precigen

Precigen, Inc is a clinical-stage biotechnology company focused on developing gene and cell therapies for cancer and serious diseases. The company uses its proprietary UltraCAR-T, AdenoVerse, and other gene-engineering platforms to design potential treatments intended to improve the targeting, persistence, and manufacturing of therapeutic cells and genetic medicines.

Precigen's pipeline has included PRGN-2012, an investigational immunotherapy based on a gorilla adenovector for recurrent respiratory papillomatosis, as well as PRGN-2001, an investigational HPV-targeted immunotherapy.

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