Puma Biotechnology (NASDAQ:PBYI) Sets New 1-Year High - Should You Buy?

Key Points

• Puma Biotechnology shares reached a new 52-week high of $10.08, trading about 2.1% higher, with the stock above both its 50-day and 200-day moving averages.
• The company reported quarterly EPS of $0.19, beating the $0.04 consensus estimate, while revenue of $56.5 million also exceeded expectations.
• Despite some bullish analyst commentary, the consensus rating remains “Hold” with a $6.00 price target—well below the current share price. Insiders have sold $1.05 million worth of shares over the past quarter.

Puma Biotechnology, Inc. (NASDAQ:PBYI - Get Free Report)'s stock price reached a new 52-week high on Wednesday. The company traded as high as $10.08 and last traded at $10.0250, with a volume of 98007 shares. The stock had previously closed at $9.78.

Analysts Set New Price Targets

PBYI has been the topic of a number of research analyst reports. TD Cowen boosted their target price on Puma Biotechnology from $5.00 to $6.00 and gave the company a "hold" rating in a research report on Friday, August 7th. Weiss Ratings upgraded Puma Biotechnology from a "hold (c)" rating to a "hold (c+)" rating in a research report on Friday, August 21st. Finally, Wall Street Zen raised Puma Biotechnology from a "buy" rating to a "strong-buy" rating in a research note on Saturday, August 15th. Two research analysts have rated the stock with a Hold rating, According to MarketBeat, Puma Biotechnology currently has a consensus rating of "Hold" and a consensus price target of $6.00.

Puma Biotechnology Trading Up 2.1%

The company has a market capitalization of $515.58 million, a price-to-earnings ratio of 19.24 and a beta of 1.24. The stock's fifty day simple moving average is $8.96 and its 200-day simple moving average is $7.87.

Puma Biotechnology (NASDAQ:PBYI - Get Free Report) last announced its quarterly earnings data on Thursday, August 6th. The biopharmaceutical company reported $0.19 EPS for the quarter, topping analysts' consensus estimates of $0.04 by $0.15. The business had revenue of $56.50 million during the quarter, compared to the consensus estimate of $53.00 million. Puma Biotechnology had a return on equity of 20.76% and a net margin of 11.50%. On average, analysts anticipate that Puma Biotechnology, Inc. will post 0.37 EPS for the current fiscal year.

Insider Activity

In other news, Director Troy Wilson sold 5,000 shares of Puma Biotechnology stock in a transaction on Monday, September 14th. The shares were sold at an average price of $9.10, for a total transaction of $45,500.00. Following the completion of the sale, the director directly owned 54,750 shares of the company's stock, valued at approximately $498,225. The trade was a 8.37% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO Alan H. Auerbach sold 44,058 shares of the business's stock in a transaction on Monday, July 6th. The stock was sold at an average price of $8.26, for a total transaction of $363,919.08. Following the transaction, the chief executive officer owned 7,261,671 shares of the company's stock, valued at approximately $59,981,402.46. The trade was a 0.60% 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. Over the last quarter, insiders have sold 119,668 shares of company stock worth $1,046,107. Insiders own 22.20% of the company's stock.

Institutional Trading of Puma Biotechnology

A number of hedge funds and other institutional investors have recently bought and sold shares of PBYI. Legal & General Group Plc acquired a new position in shares of Puma Biotechnology during the 2nd quarter worth about $35,000. Royal Bank of Canada lifted its stake in Puma Biotechnology by 244.5% during the first quarter. Royal Bank of Canada now owns 4,320 shares of the biopharmaceutical company's stock worth $28,000 after purchasing an additional 3,066 shares during the last quarter. Philadelphia Investment Partners LLC purchased a new stake in Puma Biotechnology during the second quarter worth approximately $65,000. ProShare Advisors LLC acquired a new position in Puma Biotechnology in the fourth quarter valued at approximately $60,000. Finally, DGS Capital Management LLC acquired a new position in Puma Biotechnology in the first quarter valued at approximately $67,000. 61.29% of the stock is currently owned by institutional investors and hedge funds.

About Puma Biotechnology

Puma Biotechnology, Inc is a biopharmaceutical company focused on developing and commercializing medicines for the treatment of cancer. The company's primary product is NERLYNX (neratinib), an oral tyrosine kinase inhibitor designed to target HER2 and other members of the human epidermal growth factor receptor family.

In the United States, NERLYNX is approved for the extended adjuvant treatment of adults with early-stage HER2-positive breast cancer following postoperative trastuzumab-based therapy.

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