Brokerages Set Schrodinger, Inc. (NASDAQ:SDGR) Price Target at $27.83

Key Points

• Schrodinger, Inc. has received a consensus recommendation of "Moderate Buy" from six analysts, with four buy recommendations and two holds.
• The company's recent earnings report showed a 15.7% year-over-year increase in revenue, with an EPS of ($0.59), surpassing expectations.
• Institutional investors hold 79.05% of Schrodinger's stock, indicating strong backing from the investment community.

Schrodinger, Inc. (NASDAQ:SDGR - Get Free Report) has been assigned a consensus recommendation of "Moderate Buy" from the six brokerages that are covering the stock, MarketBeat reports. Two equities research analysts have rated the stock with a hold recommendation and four have assigned a buy recommendation to the company. The average 1-year price objective among brokers that have updated their coverage on the stock in the last year is $27.8333.

A number of research analysts have recently commented on the company. Citigroup downgraded Schrodinger from a "buy" rating to a "neutral" rating and dropped their price objective for the company from $35.00 to $20.00 in a report on Friday, August 15th. Morgan Stanley dropped their price objective on Schrodinger from $28.00 to $19.00 and set an "equal weight" rating on the stock in a report on Monday, August 18th. Wall Street Zen downgraded Schrodinger from a "hold" rating to a "sell" rating in a report on Saturday, August 30th. KeyCorp decreased their target price on Schrodinger from $32.00 to $30.00 and set an "overweight" rating for the company in a research report on Monday, July 14th. Finally, Barclays started coverage on Schrodinger in a research report on Thursday, August 14th. They set an "overweight" rating and a $25.00 price objective for the company.

Institutional Trading of Schrodinger

Several hedge funds have recently modified their holdings of SDGR. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC raised its holdings in Schrodinger by 169.0% during the first quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 4,357,532 shares of the company's stock worth $86,018,000 after purchasing an additional 2,737,728 shares during the last quarter. American Century Companies Inc. purchased a new stake in shares of Schrodinger in the first quarter valued at $19,787,000. Bank of America Corp DE grew its position in shares of Schrodinger by 428.3% in the second quarter. Bank of America Corp DE now owns 606,916 shares of the company's stock valued at $12,211,000 after purchasing an additional 492,032 shares during the period. Stephens Investment Management Group LLC grew its position in Schrodinger by 22.5% during the first quarter. Stephens Investment Management Group LLC now owns 1,969,941 shares of the company's stock valued at $38,887,000 after acquiring an additional 362,285 shares during the period. Finally, Millennium Management LLC grew its position in Schrodinger by 42.3% during the fourth quarter. Millennium Management LLC now owns 761,653 shares of the company's stock valued at $14,692,000 after acquiring an additional 226,536 shares during the period. 79.05% of the stock is owned by institutional investors and hedge funds.

Schrodinger Price Performance

Shares of SDGR stock traded down $0.21 on Tuesday, hitting $18.57. The stock had a trading volume of 688,777 shares, compared to its average volume of 974,219. The firm has a market capitalization of $1.37 billion, a P/E ratio of -7.49 and a beta of 1.79. Schrodinger has a 1 year low of $16.60 and a 1 year high of $28.47. The company's 50 day moving average price is $20.22 and its 200-day moving average price is $21.62.

Schrodinger (NASDAQ:SDGR - Get Free Report) last issued its quarterly earnings results on Wednesday, August 6th. The company reported ($0.59) earnings per share for the quarter, topping the consensus estimate of ($0.83) by $0.24. Schrodinger had a negative return on equity of 45.70% and a negative net margin of 76.22%.The company had revenue of $54.76 million for the quarter, compared to the consensus estimate of $52.03 million. During the same quarter in the prior year, the business earned ($0.66) EPS. Schrodinger's revenue was up 15.7% on a year-over-year basis. On average, equities analysts forecast that Schrodinger will post -2.37 EPS for the current year.

Schrodinger Company Profile

Schrödinger, Inc, together with its subsidiaries, develops physics-based computational platform that enables discovery of novel molecules for drug development and materials applications. The company operates in two segments, Software and Drug Discovery. The Software segment is focused on licensing its software to transform molecular discovery for life sciences and materials science industries.