Summit Therapeutics (NASDAQ:SMMT) Shares Down 5.8% - Here's What Happened

Key Points

• Summit Therapeutics shares fell 5.8% to about $16.14 in Tuesday trading, with roughly 927,410 shares changing hands—about 80% below average volume.
• Analysts remain broadly optimistic, with a consensus “Moderate Buy” rating and an average price target of $28.61, despite mixed individual ratings and the company’s recent quarterly EPS miss.
• Summit is a clinical-stage biotechnology company developing ivonescimab, an investigational treatment combining PD-1 immune checkpoint inhibition and VEGF-targeted anti-angiogenic activity for solid tumors including non-small cell lung cancer.

Summit Therapeutics PLC (NASDAQ:SMMT - Get Free Report) dropped 5.8% on Tuesday. The company traded as low as $15.94 and last traded at $16.1430. Approximately 927,410 shares traded hands during mid-day trading, a decline of 80% from the average daily volume of 4,594,979 shares. The stock had previously closed at $17.13.

Wall Street Analysts Forecast Growth

Several equities research analysts recently issued reports on SMMT shares. Sanford C. Bernstein reiterated a "market perform" rating on shares of Summit Therapeutics in a research note on Monday, October 5th. Summit Redstone set a $25.00 price objective on Summit Therapeutics in a research note on Wednesday, September 9th. Leerink Partners raised Summit Therapeutics from an "underperform" rating to a "market perform" rating and lifted their price objective for the company from $12.00 to $13.00 in a report on Wednesday, August 12th. Citigroup reaffirmed a "buy" rating and issued a $43.00 price objective (up from $40.00) on shares of Summit Therapeutics in a report on Friday, September 25th. Finally, UBS Group reiterated a "neutral" rating on shares of Summit Therapeutics in a research report on Wednesday, September 23rd. One equities research analyst has rated the stock with a Strong Buy rating, nine have given a Buy rating, eight have issued a Hold rating and one has assigned a Sell rating to the stock. Based on data from MarketBeat.com, the stock has a consensus rating of "Moderate Buy" and a consensus price target of $28.61.

Summit Therapeutics Price Performance

The firm has a market cap of $12.64 billion, a P/E ratio of -14.13 and a beta of -1.51. The company's 50-day moving average is $15.64 and its two-hundred day moving average is $16.42.

Summit Therapeutics (NASDAQ:SMMT - Get Free Report) last released its earnings results on Thursday, July 23rd. The company reported ($0.28) EPS for the quarter, missing the consensus estimate of ($0.27) by ($0.01). On average, analysts expect that Summit Therapeutics PLC will post -1.20 EPS for the current fiscal year.

Institutional Inflows and Outflows

A number of hedge funds have recently added to or reduced their stakes in SMMT. Baker BROS. Advisors LP lifted its stake in Summit Therapeutics by 7.9% during the fourth quarter. Baker BROS. Advisors LP now owns 36,391,063 shares of the company's stock worth $636,480,000 after purchasing an additional 2,668,089 shares during the last quarter. BlackRock Inc. acquired a new position in shares of Summit Therapeutics during the 2nd quarter worth $138,838,000. Bank of America Corp DE acquired a new stake in Summit Therapeutics in the second quarter valued at about $12,603,000. The Manufacturers Life Insurance Company boosted its stake in Summit Therapeutics by 34.4% in the first quarter. The Manufacturers Life Insurance Company now owns 592,810 shares of the company's stock valued at $11,240,000 after buying an additional 151,857 shares in the last quarter. Finally, Bank of New York Mellon Corp boosted its stake in Summit Therapeutics by 14.4% in the first quarter. Bank of New York Mellon Corp now owns 404,679 shares of the company's stock valued at $7,673,000 after buying an additional 50,923 shares in the last quarter. 4.61% of the stock is owned by institutional investors.

Summit Therapeutics Company Profile

Summit Therapeutics plc is a clinical-stage biopharmaceutical company focused on developing innovative cancer treatments. The company's lead program is ivonescimab, an investigational bispecific antibody designed to combine immune checkpoint inhibition targeting PD-1 with anti-angiogenic activity targeting VEGF. Summit is evaluating ivonescimab in clinical studies for multiple solid tumors, including non-small cell lung cancer.

Summit obtained exclusive rights from Akeso, Inc to develop and commercialize ivonescimab in markets outside China, including the United States and other international territories.

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