Prime Medicine (NYSE:PRME) Trading Down 8.9% - What's Next?

Key Points

• Prime Medicine's stock price fell by 8.9% to $3.73 amid declining trading volume, shifting from a previous close of $4.09.
• Analysts have given the stock varying ratings, with Citigroup adjusting its target price down to $1.50 from $10.00, while Wedbush maintains an outperform rating with a $8.00 target price.
• Insider activity includes major shareholder David R. Liu acquiring 21,000 shares at $2.16 per share, indicating significant insider confidence in the company's stock.

Prime Medicine, Inc. (NYSE:PRME - Get Free Report) was down 8.9% during trading on Tuesday . The company traded as low as $3.78 and last traded at $3.73. Approximately 1,970,365 shares were traded during mid-day trading, a decline of 15% from the average daily volume of 2,314,432 shares. The stock had previously closed at $4.09.

Analyst Ratings Changes

A number of equities research analysts have commented on PRME shares. JMP Securities reduced their price target on Prime Medicine from $10.00 to $6.00 and set a "market outperform" rating on the stock in a research report on Tuesday, May 20th. JPMorgan Chase & Co. reiterated a "neutral" rating on shares of Prime Medicine in a research report on Tuesday, May 20th. Wedbush reiterated an "outperform" rating and issued a $8.00 price target on shares of Prime Medicine in a research report on Wednesday, July 16th. HC Wainwright lowered Prime Medicine from a "buy" rating to a "neutral" rating in a research report on Tuesday, May 20th. Finally, Citigroup restated a "neutral" rating and set a $1.50 target price (down previously from $10.00) on shares of Prime Medicine in a research report on Tuesday, May 27th. One analyst has rated the stock with a sell rating, three have issued a hold rating, four have assigned a buy rating and one has given a strong buy rating to the stock. Based on data from MarketBeat, Prime Medicine currently has a consensus rating of "Moderate Buy" and a consensus price target of $9.25.

Prime Medicine Trading Up 8.0%

The firm has a 50-day moving average of $2.82 and a 200 day moving average of $2.30. The company has a market cap of $543.36 million, a P/E ratio of -1.97 and a beta of 2.33.

Insider Activity at Prime Medicine

In other news, major shareholder David R. Liu purchased 21,000 shares of the business's stock in a transaction on Monday, June 23rd. The shares were acquired at an average price of $2.16 per share, for a total transaction of $45,360.00. Following the completion of the acquisition, the insider owned 20,219,945 shares in the company, valued at approximately $43,675,081.20. The trade was a 0.10% increase in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this link. Also, major shareholder Arch Venture Partners Xii, Llc purchased 3,030,300 shares of the business's stock in a transaction on Friday, August 1st. The stock was purchased at an average price of $3.30 per share, for a total transaction of $9,999,990.00. Following the acquisition, the insider owned 6,230,300 shares of the company's stock, valued at approximately $20,559,990. This represents a 94.70% increase in their position. The disclosure for this purchase can be found here. In the last quarter, insiders acquired 3,093,300 shares of company stock worth $10,110,240. Corporate insiders own 22.93% of the company's stock.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently added to or reduced their stakes in the company. R Squared Ltd purchased a new stake in shares of Prime Medicine in the second quarter worth approximately $31,000. Freedom Investment Management Inc. purchased a new stake in shares of Prime Medicine in the second quarter worth approximately $26,000. JTC Employer Solutions Trustee Ltd purchased a new stake in shares of Prime Medicine in the second quarter worth approximately $33,000. Mutual Advisors LLC purchased a new stake in shares of Prime Medicine in the second quarter worth approximately $112,000. Finally, CWM LLC raised its stake in shares of Prime Medicine by 74.7% in the second quarter. CWM LLC now owns 35,761 shares of the company's stock worth $88,000 after purchasing an additional 15,295 shares during the last quarter. Institutional investors own 70.37% of the company's stock.

Prime Medicine Company Profile

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.