Revolution Medicines (NASDAQ:RVMD) Shares Climb 5.5% on Analyst Upgrade

Key Points

• Revolution Medicines shares rose 5.5% after Truist Financial raised its price target from $240 to $241 and maintained a buy rating. Analysts overall assign the stock a “Moderate Buy” rating with an average target of $242.60.
• Insiders sold roughly 291,000 shares worth $59.4 million over the past three months, primarily to cover tax obligations from vested equity awards; insiders retain a 7.6% stake.
• The clinical-stage cancer-drug developer reported a quarterly loss of $3.06 per share, missing estimates by $1.02, while institutional investors own 94.34% of the company’s stock.

Revolution Medicines, Inc. (NASDAQ:RVMD - Get Free Report)'s share price shot up 5.5% on Tuesday after Truist Financial raised their price target on the stock from $240.00 to $241.00. Truist Financial currently has a buy rating on the stock. Revolution Medicines traded as high as $188.00 and last traded at $192.23. 104,302 shares traded hands during mid-day trading, a decline of 96% from the average session volume of 2,840,500 shares. The stock had previously closed at $182.15.

Other equities research analysts also recently issued reports about the stock. Brookline Capital Markets initiated coverage on shares of Revolution Medicines in a research note on Monday, September 28th. They issued a "buy" rating and a $318.00 price target on the stock. Stifel Nicolaus increased their price target on Revolution Medicines from $215.00 to $230.00 and gave the company a "buy" rating in a research report on Wednesday, September 9th. The Goldman Sachs Group began coverage on shares of Revolution Medicines in a report on Thursday, September 24th. They issued a "buy" rating and a $267.00 target price on the stock. HC Wainwright raised their price objective on shares of Revolution Medicines from $195.00 to $280.00 and gave the company a "buy" rating in a report on Thursday, August 27th. Finally, Weiss Ratings reaffirmed a "sell (d-)" rating on shares of Revolution Medicines in a report on Thursday. One research analyst has rated the stock with a Strong Buy rating, twenty-two have issued a Buy rating, one has issued a Hold rating and one has issued a Sell rating to the company. Based on data from MarketBeat.com, the stock presently has an average rating of "Moderate Buy" and an average target price of $242.60.

Insider Buying and Selling

In other Revolution Medicines news, COO Margaret A. Horn sold 4,967 shares of the stock in a transaction on Wednesday, September 16th. The stock was sold at an average price of $199.24, for a total value of $989,625.08. Following the completion of the transaction, the chief operating officer owned 149,680 shares in the company, valued at approximately $29,822,243.20. This represents a 3.21% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this link. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, insider Mark A. Goldsmith sold 13,988 shares of the firm's stock in a transaction dated Wednesday, September 16th. The shares were sold at an average price of $199.24, for a total transaction of $2,786,969.12. Following the completion of the sale, the insider owned 253,342 shares of the company's stock, valued at $50,475,860.08. This trade represents a 5.23% decrease in their position. The disclosure for this sale is available in the SEC filing. The sale was made to cover tax withholding obligations related to the vesting of equity awards. In the last three months, insiders have sold 290,991 shares of company stock worth $59,422,765. 7.60% of the stock is currently owned by insiders.

Institutional Investors Weigh In On Revolution Medicines

Institutional investors and hedge funds have recently made changes to their positions in the business. IFP Advisors Inc increased its holdings in shares of Revolution Medicines by 8.7% in the third quarter. IFP Advisors Inc now owns 810 shares of the company's stock valued at $166,000 after purchasing an additional 65 shares during the period. TD Waterhouse Canada Inc. increased its holdings in shares of Revolution Medicines by 37.0% during the 3rd quarter. TD Waterhouse Canada Inc. now owns 370 shares of the company's stock valued at $76,000 after purchasing an additional 100 shares in the last quarter. Meeder Advisory Services Inc. increased its holdings in Revolution Medicines by 3.0% in the first quarter. Meeder Advisory Services Inc. now owns 4,126 shares of the company's stock valued at $401,000 after buying an additional 120 shares in the last quarter. Northwestern Mutual Wealth Management Co. raised its holdings in Revolution Medicines by 147.7% in the 2nd quarter. Northwestern Mutual Wealth Management Co. now owns 218 shares of the company's stock worth $41,000 after purchasing an additional 130 shares during the period. Finally, Burkett Financial Services LLC purchased a new position in shares of Revolution Medicines during the 3rd quarter valued at approximately $27,000. 94.34% of the stock is currently owned by hedge funds and other institutional investors.

Revolution Medicines Trading Up 6.0%

The company has a debt-to-equity ratio of 0.40, a current ratio of 11.38 and a quick ratio of 11.38. The firm has a market capitalization of $41.37 billion, a PE ratio of -21.91 and a beta of 1.40. The company's fifty day simple moving average is $202.72 and its 200-day simple moving average is $174.59.

Revolution Medicines (NASDAQ:RVMD - Get Free Report) last announced its earnings results on Wednesday, August 5th. The company reported ($3.06) earnings per share (EPS) for the quarter, missing the consensus estimate of ($2.04) by ($1.02). During the same period in the prior year, the business earned ($1.31) EPS. As a group, sell-side analysts expect that Revolution Medicines, Inc. will post -8.93 earnings per share for the current fiscal year.

Revolution Medicines Company Profile

Revolution Medicines, Inc is a clinical-stage biopharmaceutical company focused on developing targeted therapies for patients with RAS-mutant cancers. The company's research platform is designed to discover and develop medicines that inhibit RAS proteins, which play a central role in the growth and spread of many cancers and have historically been difficult to target.

Its investigational pipeline includes RAS(ON) inhibitors and other precision oncology candidates, including daraxonrasib (RMC-6236), a pan-RAS inhibitor being evaluated in multiple solid tumors, as well as programs directed at specific mutations such as KRAS G12C and KRAS G12D.

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