Summit Therapeutics (NASDAQ:SMMT) Shares Gap Up - Here's What Happened

Key Points

• Summit Therapeutics shares opened 4.9% higher, rising from a prior close of $12.73 to $13.27, with a market capitalization of approximately $10.65 billion.
• Analyst views remain mixed: the stock carries a consensus “Hold” rating and a $24.07 price target, while several firms recently lowered their targets and one downgraded the shares to “Sell.”
• Company insiders showed strong buying activity, purchasing 7.87 million shares worth about $103.6 million over the past three months; insiders collectively own 83.5% of the company.

Summit Therapeutics PLC (NASDAQ:SMMT - Get Free Report) gapped up before the market opened on Tuesday . The stock had previously closed at $12.73, but opened at $13.27. Summit Therapeutics shares last traded at $13.2520, with a volume of 727,251 shares.

Analysts Set New Price Targets

A number of research firms have commented on SMMT. Stifel Nicolaus reduced their price target on shares of Summit Therapeutics from $45.00 to $38.00 and set a "buy" rating for the company in a report on Friday, July 24th. Wall Street Zen cut shares of Summit Therapeutics from a "hold" rating to a "sell" rating in a research report on Saturday, July 18th. Piper Sandler reduced their target price on Summit Therapeutics from $17.00 to $16.00 and set a "neutral" rating for the company in a research note on Friday, May 1st. KeyCorp reaffirmed an "overweight" rating on shares of Summit Therapeutics in a research report on Monday, June 1st. Finally, Sanford C. Bernstein raised Summit Therapeutics from an "underperform" rating to a "market perform" rating and upped their price target for the stock from $9.80 to $11.90 in a research note on Tuesday. One research analyst has rated the stock with a Strong Buy rating, six have assigned a Buy rating, eight have issued a Hold rating and one has given a Sell rating to the stock. According to MarketBeat.com, Summit Therapeutics has a consensus rating of "Hold" and a consensus price target of $24.07.

Summit Therapeutics Trading Up 4.9%

The firm has a market cap of $10.65 billion, a P/E ratio of -11.93 and a beta of -1.23. The company's 50-day moving average is $14.12 and its two-hundred day moving average is $16.18.

Summit Therapeutics (NASDAQ:SMMT - Get Free Report) last posted its quarterly earnings data on Thursday, July 23rd. The company reported ($0.28) earnings per share (EPS) for the quarter, missing analysts' consensus estimates of ($0.27) by ($0.01). Research analysts anticipate that Summit Therapeutics PLC will post -1.2 EPS for the current fiscal year.

Insider Buying and Selling at Summit Therapeutics

In related news, CEO Robert W. Duggan bought 3,810,000 shares of the company's stock in a transaction on Friday, June 12th. The stock was acquired at an average cost of $13.12 per share, for a total transaction of $49,987,200.00. Following the completion of the transaction, the chief executive officer directly owned 573,883,879 shares in the company, valued at $7,529,356,492.48. This trade represents a 0.67% increase in their position. The transaction was disclosed in a legal filing with the SEC, which is available through this link. Also, CFO Manmeet Singh Soni bought 50,000 shares of the business's stock in a transaction that occurred on Thursday, June 4th. The stock was bought at an average price of $14.45 per share, with a total value of $722,500.00. Following the completion of the transaction, the chief financial officer directly owned 3,123,603 shares of the company's stock, valued at $45,136,063.35. This represents a 1.63% increase in their position. The SEC filing for this purchase provides additional information. Insiders bought a total of 7,870,000 shares of company stock valued at $103,616,900 in the last three months. Company insiders own 83.50% of the company's stock.

Institutional Investors Weigh In On Summit Therapeutics

A number of hedge funds have recently made changes to their positions in the business. Ball & Co Wealth Management Inc. bought a new stake in Summit Therapeutics in the first quarter worth $28,000. Kestra Advisory Services LLC bought a new stake in shares of Summit Therapeutics in the 4th quarter valued at about $28,000. T. Rowe Price Investment Management Inc. lifted its stake in shares of Summit Therapeutics by 2,654.4% in the 4th quarter. T. Rowe Price Investment Management Inc. now owns 1,873 shares of the company's stock valued at $33,000 after acquiring an additional 1,805 shares during the last quarter. Parallel Advisors LLC bought a new position in Summit Therapeutics during the 3rd quarter worth approximately $39,000. Finally, Truvestments Capital LLC increased its stake in Summit Therapeutics by 200.2% in the 4th quarter. Truvestments Capital LLC now owns 2,603 shares of the company's stock worth $46,000 after purchasing an additional 1,736 shares during the period. 4.61% of the stock is currently owned by institutional investors.

About Summit Therapeutics

Summit Therapeutics plc is a clinical‐stage biotechnology company dedicated to the discovery and development of precision medicines for serious and life‐threatening diseases. The company applies a targeted approach to drug design, focusing on novel mechanisms of action that differentiate its candidates from existing therapies.

Summit's lead asset, ridinilazole (formerly SMT19969), is being developed to treat Clostridioides difficile infections and has received both Fast Track and Qualified Infectious Disease Product designations from the U.S.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.

Continue following MarketBeat

Add MarketBeat as your preferred source on Google to see our latest stories in your feed.

Add As Preferred Source