BMO Capital Markets Issues Pessimistic Forecast for Scholar Rock (NASDAQ:SRRK) Stock Price

Key Points

• BMO Capital Markets has lowered the price target for Scholar Rock (NASDAQ:SRRK) from $57.00 to $45.00, maintaining an "outperform" rating on the stock
• Despite the price target reduction, seven analysts have rated the stock with a buy or strong buy rating, indicating overall positive sentiment towards the company
• Scholar Rock reported a loss of ($0.98) earnings per share for its last quarter, missing consensus estimates, while analysts forecast an expected EPS of -2.42 for the current year

Scholar Rock (NASDAQ:SRRK - Free Report) had its price target lowered by BMO Capital Markets from $57.00 to $45.00 in a report published on Thursday,Benzinga reports. The firm currently has an outperform rating on the stock.

Several other equities research analysts also recently weighed in on the company. Cantor Fitzgerald initiated coverage on Scholar Rock in a report on Thursday, July 17th. They set an "overweight" rating on the stock. Raymond James Financial set a $53.00 target price on Scholar Rock and gave the company a "strong-buy" rating in a report on Wednesday, July 30th. Wedbush reiterated an "outperform" rating and issued a $50.00 price target on shares of Scholar Rock in a research note on Wednesday, June 18th. Finally, Lifesci Capital raised Scholar Rock to a "strong-buy" rating in a report on Tuesday, June 3rd. Seven analysts have rated the stock with a buy rating and two have given a strong buy rating to the company. Based on data from MarketBeat.com, the company has a consensus rating of "Buy" and an average price target of $45.14.

Scholar Rock Trading Down 2.5%

Shares of NASDAQ:SRRK traded down $0.81 during trading on Thursday, reaching $31.15. 505,443 shares of the company traded hands, compared to its average volume of 1,220,490. The business's fifty day moving average is $35.74 and its 200-day moving average is $34.37. Scholar Rock has a 52-week low of $6.76 and a 52-week high of $46.98. The firm has a market capitalization of $2.99 billion, a price-to-earnings ratio of -10.73 and a beta of 0.48. The company has a current ratio of 6.33, a quick ratio of 6.33 and a debt-to-equity ratio of 0.21.

Scholar Rock (NASDAQ:SRRK - Get Free Report) last posted its quarterly earnings results on Wednesday, August 6th. The company reported ($0.98) earnings per share for the quarter, missing the consensus estimate of ($0.66) by ($0.32). During the same period last year, the company posted ($0.60) earnings per share. As a group, analysts forecast that Scholar Rock will post -2.42 EPS for the current year.

Insider Transactions at Scholar Rock

In other news, Director Joshua Reed sold 5,400 shares of the firm's stock in a transaction on Thursday, May 29th. The shares were sold at an average price of $29.72, for a total transaction of $160,488.00. Following the completion of the transaction, the director owned 15,732 shares of the company's stock, valued at approximately $467,555.04. This trade represents a 25.55% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, Director Kristina Burow sold 5,400 shares of Scholar Rock stock in a transaction on Thursday, May 29th. The shares were sold at an average price of $29.72, for a total transaction of $160,488.00. Following the completion of the sale, the director directly owned 21,071 shares of the company's stock, valued at approximately $626,230.12. This trade represents a 20.40% decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last 90 days, insiders sold 93,654 shares of company stock worth $3,101,811. 13.30% of the stock is currently owned by insiders.

Institutional Trading of Scholar Rock

Hedge funds and other institutional investors have recently bought and sold shares of the company. Marshall Wace LLP boosted its stake in shares of Scholar Rock by 1,283.7% in the 4th quarter. Marshall Wace LLP now owns 2,945,408 shares of the company's stock valued at $127,301,000 after purchasing an additional 2,732,546 shares in the last quarter. Fairmount Funds Management LLC purchased a new stake in shares of Scholar Rock in the 4th quarter worth about $84,839,000. Adage Capital Partners GP L.L.C. purchased a new stake in shares of Scholar Rock in the 4th quarter worth about $68,930,000. Wellington Management Group LLP increased its stake in shares of Scholar Rock by 763.8% in the 4th quarter. Wellington Management Group LLP now owns 1,725,622 shares of the company's stock worth $74,581,000 after acquiring an additional 1,525,845 shares in the last quarter. Finally, Vestal Point Capital LP bought a new position in shares of Scholar Rock in the 1st quarter worth about $41,795,000. Institutional investors own 91.08% of the company's stock.

Scholar Rock Company Profile

Scholar Rock Holding Corporation, a biopharmaceutical company, focuses on the discovery, development, and delivery of medicines for the treatment of serious diseases in which signaling by protein growth factors plays a fundamental role. The company develops Apitegromab, an inhibitor of the activation of myostatin that is in Phase 3 clinical trial for the treatment of spinal muscular atrophy; and SRK-181, which has completed Phase 1 clinical trials for the treatment of cancers that are resistant to checkpoint inhibitor therapies, such as anti-PD-1 or anti-PD-L1 antibody therapies.