Travere Therapeutics (NASDAQ:TVTX) Shares Gap Down Following Weak Earnings

Key Points

• Travere Therapeutics shares fell sharply after the company reported a third-quarter loss of $0.55 per share, far worse than the $0.10 loss analysts expected. The stock opened at $46.52 versus a prior close of $49.26 and last traded near $45.78.
• Despite the earnings miss, revenue rose 36.2% year over year to $224.56 million, exceeding estimates, while FILSPARI sales reached approximately $200 million as adoption expanded in kidney diseases.
• Wall Street remains generally positive, with ten analysts rating the stock Buy and two Sell; the consensus rating is Moderate Buy with a $69.50 price target, although insiders have sold about 1.29 million shares worth $79.5 million over the past three months.

Travere Therapeutics, Inc. (NASDAQ:TVTX - Get Free Report) shares gapped down before the market opened on Tuesday after the company announced weaker than expected quarterly earnings. The stock had previously closed at $49.26, but opened at $46.52. Travere Therapeutics shares last traded at $45.7810, with a volume of 1,225,620 shares.

The company reported ($0.55) earnings per share for the quarter, missing analysts' consensus estimates of ($0.10) by ($0.45). The company had revenue of $224.56 million for the quarter, compared to analyst estimates of $195.29 million. Travere Therapeutics had a negative return on equity of 55.15% and a negative net margin of 7.35%. The firm's revenue for the quarter was up 36.2% compared to the same quarter last year. During the same quarter in the previous year, the company posted $0.28 earnings per share.

Key Headlines Impacting Travere Therapeutics

Here are the key news stories impacting Travere Therapeutics this week:

• Positive Sentiment: Third-quarter revenue rose 36.2% year over year to approximately $224.6 million, exceeding the $195.3 million analyst consensus. FILSPARI net product sales reached $200 million, reflecting continued expansion in IgA nephropathy (IgAN) and focal segmental glomerulosclerosis (FSGS). Travere Therapeutics Reports Third Quarter 2026 Financial Results
• Positive Sentiment: A valuation analysis argued that Travere could be about 34% undervalued following its third-quarter loss, potentially supporting the stock if investors place greater weight on the company’s revenue growth and commercial execution. Why Travere Therapeutics Could Be 34% Undervalued

Wall Street Analysts Forecast Growth

Several equities analysts have recently commented on the stock. Citigroup upped their price target on shares of Travere Therapeutics from $70.00 to $85.00 and gave the stock a "buy" rating in a research report on Wednesday, August 5th. TD Cowen lifted their price objective on shares of Travere Therapeutics from $60.00 to $75.00 and gave the company a "buy" rating in a research report on Wednesday, August 5th. Evercore set a $78.00 target price on shares of Travere Therapeutics in a research note on Monday, August 10th. Canaccord Genuity Group upped their target price on shares of Travere Therapeutics from $62.00 to $70.00 and gave the stock a "buy" rating in a research report on Thursday, August 6th. Finally, HC Wainwright restated a "buy" rating and issued a $67.00 price target on shares of Travere Therapeutics in a research note on Tuesday, September 22nd. Ten research analysts have rated the stock with a Buy rating and two have issued a Sell rating to the stock. Based on data from MarketBeat, Travere Therapeutics currently has an average rating of "Moderate Buy" and a consensus target price of $69.50.

Insider Activity at Travere Therapeutics

In related news, EVP Jula Inrig sold 44,674 shares of Travere Therapeutics stock in a transaction dated Tuesday, September 15th. The shares were sold at an average price of $62.34, for a total transaction of $2,784,977.16. Following the sale, the executive vice president directly owned 100,491 shares in the company, valued at $6,264,608.94. The trade was a 30.77% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, EVP Peter Heerma sold 172,717 shares of the firm's stock in a transaction dated Wednesday, September 16th. The shares were sold at an average price of $63.43, for a total transaction of $10,955,439.31. Following the transaction, the executive vice president directly owned 117,066 shares in the company, valued at approximately $7,425,496.38. The trade was a 59.60% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last three months, insiders sold 1,294,029 shares of company stock valued at $79,454,261. 4.44% of the stock is owned by corporate insiders.

Institutional Trading of Travere Therapeutics

Several institutional investors have recently modified their holdings of the company. Jupiter Topco LLC bought a new stake in Travere Therapeutics in the second quarter worth about $643,299,000. Bank of America Corp DE bought a new position in shares of Travere Therapeutics during the 2nd quarter valued at about $259,527,000. Wellington Management Group LLP boosted its position in shares of Travere Therapeutics by 50.0% during the 2nd quarter. Wellington Management Group LLP now owns 1,533,080 shares of the company's stock valued at $87,094,000 after purchasing an additional 510,808 shares in the last quarter. Assenagon Asset Management S.A. grew its stake in shares of Travere Therapeutics by 168.1% in the 3rd quarter. Assenagon Asset Management S.A. now owns 1,145,414 shares of the company's stock worth $67,442,000 after purchasing an additional 718,109 shares during the last quarter. Finally, Legal & General Group Plc acquired a new position in shares of Travere Therapeutics in the 2nd quarter worth approximately $26,723,000.

Travere Therapeutics Price Performance

The company has a current ratio of 4.05, a quick ratio of 3.99 and a debt-to-equity ratio of 24.58. The business's fifty day moving average is $58.73 and its 200 day moving average is $46.56. The firm has a market capitalization of $4.38 billion, a P/E ratio of -99.88 and a beta of 1.13.

About Travere Therapeutics

Travere Therapeutics, Inc is a biopharmaceutical company focused on developing and commercializing therapies for rare diseases, with an emphasis on serious kidney conditions. The company's work centers on addressing diseases with limited treatment options and improving outcomes for patients with progressive renal disorders.

Travere's lead commercial product is FILSPARI (sparsentan), an oral treatment for adults with primary immunoglobulin A nephropathy (IgA nephropathy) who are at risk of disease progression.

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