Scholar Rock Sees Unusually Large Options Volume (NASDAQ:SRRK)

Key Points

• Scholar Rock Holding Corporation (NASDAQ: SRRK) experienced an **increase of 313%** in put options trading volume, with **7,048 put options** purchased on Thursday compared to a typical volume of **1,707**.
• Wall Street analysts have mixed views, with **Lifesci Capital upgrading** the stock to a "strong-buy," while **BMO and Barclays** lowered their target prices to **$45** and **$44**, respectively.
• Scholar Rock's stock rose **2.2%** on Thursday to **$34.48**, following a recent earnings report showing a EPS loss greater than analysts' expectations, at **($0.98)** per share.

Scholar Rock Holding Corporation (NASDAQ:SRRK - Get Free Report) saw some unusual options trading activity on Thursday. Traders bought 7,048 put options on the company. This represents an increase of 313% compared to the typical volume of 1,707 put options.

Wall Street Analyst Weigh In

Several brokerages have commented on SRRK. Lifesci Capital upgraded shares of Scholar Rock to a "strong-buy" rating in a report on Tuesday, June 3rd. BMO Capital Markets reduced their target price on shares of Scholar Rock from $57.00 to $45.00 and set an "outperform" rating on the stock in a research report on Thursday, August 7th. Barclays reduced their target price on shares of Scholar Rock from $45.00 to $44.00 and set an "overweight" rating on the stock in a research report on Wednesday. Cantor Fitzgerald began coverage on shares of Scholar Rock in a research report on Thursday, July 17th. They issued an "overweight" rating on the stock. Finally, Leerink Partners began coverage on shares of Scholar Rock in a research report on Monday, September 15th. They issued an "outperform" rating and a $51.00 target price on the stock. Three equities research analysts have rated the stock with a Strong Buy rating and ten have assigned a Buy rating to the company. Based on data from MarketBeat.com, the company has an average rating of "Buy" and an average price target of $46.40.

Scholar Rock Stock Up 2.2%

SRRK stock traded up $0.76 during trading on Thursday, hitting $34.48. 390,305 shares of the stock traded hands, compared to its average volume of 1,384,570. Scholar Rock has a 1 year low of $6.76 and a 1 year high of $46.98. The firm's 50 day moving average is $34.33 and its two-hundred day moving average is $33.06. The stock has a market cap of $3.31 billion, a price-to-earnings ratio of -11.80 and a beta of 0.36. The company has a debt-to-equity ratio of 0.21, a current ratio of 6.33 and a quick ratio of 6.33.

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

Insider Activity at Scholar Rock

In other Scholar Rock news, insider Mo Qatanani sold 3,353 shares of the company's stock in a transaction on Monday, September 22nd. The shares were sold at an average price of $30.67, for a total value of $102,836.51. Following the completion of the transaction, the insider directly owned 108,964 shares in the company, valued at approximately $3,341,925.88. This represents a 2.99% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, Director Jeffrey S. Flier sold 11,136 shares of the company's stock in a transaction on Wednesday, July 16th. The stock was sold at an average price of $40.02, for a total transaction of $445,662.72. Following the completion of the transaction, the director owned 24,070 shares of the company's stock, valued at $963,281.40. This trade represents a 31.63% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold 42,739 shares of company stock worth $1,516,584 in the last three months. 13.30% of the stock is owned by insiders.

Hedge Funds Weigh In On Scholar Rock

Several hedge funds and other institutional investors have recently bought and sold shares of SRRK. CWM LLC lifted its stake in Scholar Rock by 152.8% during the 1st quarter. CWM LLC now owns 996 shares of the company's stock valued at $32,000 after acquiring an additional 602 shares during the period. Federated Hermes Inc. bought a new position in Scholar Rock during the 1st quarter valued at about $71,000. GF Fund Management CO. LTD. lifted its stake in shares of Scholar Rock by 21.9% in the 1st quarter. GF Fund Management CO. LTD. now owns 2,396 shares of the company's stock worth $77,000 after purchasing an additional 430 shares during the period. Strs Ohio bought a new position in shares of Scholar Rock in the 1st quarter worth approximately $77,000. Finally, Elevation Point Wealth Partners LLC bought a new position in shares of Scholar Rock in the 2nd quarter worth approximately $94,000. 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.

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