Prime Medicine (NYSE:PRME) Stock Price Up 4.9% - Time to Buy?

Key Points

• Prime Medicine's stock price rose by 4.9% during mid-day trading, reaching a high of $3.75 before closing at $3.73, amidst a significant drop in trading volume.
• Several analysts have recently adjusted their ratings and price targets for Prime Medicine, with HC Wainwright downgrading it to "neutral" and Citigroup lowering its target price to $1.50.
• Insiders have been actively buying shares, with major shareholder Arch Venture Partners acquiring over 3 million shares, increasing their ownership stake by nearly 95%.

Shares of Prime Medicine, Inc. (NYSE:PRME - Get Free Report) traded up 4.9% during trading on Monday . The company traded as high as $3.75 and last traded at $3.73. 572,374 shares changed hands during mid-day trading, a decline of 77% from the average session volume of 2,520,628 shares. The stock had previously closed at $3.55.

Wall Street Analyst Weigh In

A number of equities analysts have recently commented on the stock. JPMorgan Chase & Co. restated a "neutral" rating on shares of Prime Medicine in a research report on Tuesday, May 20th. JMP Securities cut their price objective on shares of Prime Medicine from $10.00 to $6.00 and set a "market outperform" rating for the company in a research report on Tuesday, May 20th. HC Wainwright lowered shares of Prime Medicine from a "buy" rating to a "neutral" rating in a research report on Tuesday, May 20th. Wedbush restated an "outperform" rating and issued a $8.00 price objective on shares of Prime Medicine in a research report on Wednesday, July 16th. Finally, Citigroup restated a "neutral" rating and issued a $1.50 price objective (down from $10.00) on shares of Prime Medicine in a research report on Tuesday, May 27th. One analyst has rated the stock with a Strong Buy rating, four have assigned a Buy rating and three have given a Hold rating to the stock. According to MarketBeat.com, the stock currently has an average rating of "Moderate Buy" and an average price target of $8.92.

Prime Medicine Stock Performance

The company's 50-day moving average price is $3.65 and its two-hundred day moving average price is $2.41. The stock has a market cap of $462.93 million, a PE ratio of -1.68 and a beta of 2.39.

Insider Buying and Selling at Prime Medicine

In related news, major shareholder Arch Venture Partners Xii, Llc acquired 3,030,300 shares of the stock in a transaction dated Friday, August 1st. The shares were purchased at an average price of $3.30 per share, for a total transaction of $9,999,990.00. Following the transaction, the insider owned 6,230,300 shares in the company, valued at $20,559,990. This represents a 94.70% increase in their position. The acquisition was disclosed in a document filed with the SEC, which is available through the SEC website. Also, major shareholder David R. Liu acquired 21,000 shares of the stock in a transaction dated Monday, June 23rd. The shares were bought at an average price of $2.16 per share, for a total transaction of $45,360.00. Following the transaction, the insider owned 20,219,945 shares in the company, valued at approximately $43,675,081.20. This represents a 0.10% increase in their position. The disclosure for this purchase can be found here. In the last 90 days, insiders have bought 3,093,300 shares of company stock worth $10,110,240. Corporate insiders own 22.74% of the company's stock.

Institutional Trading of Prime Medicine

Several institutional investors and hedge funds have recently made changes to their positions in PRME. Creative Planning bought a new stake in Prime Medicine during the 2nd quarter valued at $25,000. Freedom Investment Management Inc. bought a new stake in Prime Medicine during the 2nd quarter valued at $26,000. R Squared Ltd bought a new stake in Prime Medicine during the 2nd quarter valued at $31,000. JTC Employer Solutions Trustee Ltd bought a new stake in Prime Medicine during the 2nd quarter valued at $33,000. Finally, XTX Topco Ltd bought a new stake in Prime Medicine during the 4th quarter valued at $42,000. Hedge funds and other institutional investors own 70.37% of the company's stock.

About Prime Medicine

Prime Medicine, Inc, a biotechnology company, delivers genetic therapies to address the spectrum of diseases by deploying gene editing technology. The company offers Prime Editors with a Prime Editor protein, comprising a fusion between a Cas protein and a reverse transcriptase enzyme; and a pegRNA, which targets the Prime Editor to a specific genomic location and provides a template for making the desired edit to the target DNA sequence.