Scilex (NASDAQ:SCLX) Trading 10.1% Higher - Time to Buy?

Key Points

• Scilex Holding Company's stock price surged by 10.1% during mid-day trading, reaching a peak of $20.41 before settling at $18.87.
• The company reported a significant earnings miss, with an EPS of ($7.42), falling short of the consensus estimate of ($4.55), alongside a revenue of $9.90 million against expectations of $26.25 million.
• Institutional investors have shown increased interest, with 69.67% of the stock currently owned by hedge funds, highlighting notable stake increases from firms like Jane Street Group and RA Capital Management.

Shares of Scilex Holding Company (NASDAQ:SCLX - Get Free Report) were up 10.1% during mid-day trading on Friday . The stock traded as high as $20.41 and last traded at $18.87. Approximately 465,891 shares were traded during mid-day trading, an increase of 49% from the average daily volume of 313,464 shares. The stock had previously closed at $17.14.

Scilex Trading Up 0.4%

The stock has a fifty day simple moving average of $11.15 and a two-hundred day simple moving average of $8.85. The company has a market cap of $125.83 million, a PE ratio of -0.62 and a beta of 1.32.

Scilex (NASDAQ:SCLX - Get Free Report) last announced its quarterly earnings results on Wednesday, August 13th. The company reported ($7.42) EPS for the quarter, missing the consensus estimate of ($4.55) by ($2.87). The firm had revenue of $9.90 million during the quarter, compared to analyst estimates of $26.25 million. As a group, equities research analysts anticipate that Scilex Holding Company will post -0.57 EPS for the current fiscal year.

Institutional Trading of Scilex

Several large investors have recently added to or reduced their stakes in SCLX. RA Capital Management L.P. raised its holdings in Scilex by 296.7% during the fourth quarter. RA Capital Management L.P. now owns 1,036,218 shares of the company's stock worth $442,000 after purchasing an additional 775,039 shares in the last quarter. Northern Trust Corp increased its holdings in shares of Scilex by 64.0% in the fourth quarter. Northern Trust Corp now owns 1,273,968 shares of the company's stock valued at $543,000 after buying an additional 497,182 shares in the last quarter. Jane Street Group LLC increased its holdings in shares of Scilex by 965.8% in the fourth quarter. Jane Street Group LLC now owns 321,480 shares of the company's stock valued at $137,000 after buying an additional 291,316 shares in the last quarter. Janus Henderson Group PLC increased its holdings in shares of Scilex by 28.7% in the fourth quarter. Janus Henderson Group PLC now owns 687,547 shares of the company's stock valued at $293,000 after buying an additional 153,245 shares in the last quarter. Finally, Goldman Sachs Group Inc. increased its holdings in shares of Scilex by 31.2% in the first quarter. Goldman Sachs Group Inc. now owns 136,352 shares of the company's stock valued at $34,000 after buying an additional 32,449 shares in the last quarter. 69.67% of the stock is currently owned by institutional investors and hedge funds.

Scilex Company Profile

Scilex Holding Company focuses on acquiring, developing, and commercializing non-opioid pain management products for the treatment of acute and chronic pain. Its commercial products include ZTlido (lidocaine topical system) 1.8% (ZTlido), a prescription lidocaine topical product for the relief of neuropathic pain associated with postherpetic neuralgia (PHN), which is a form of post-shingles nerve pain; ELYXYB, a ready-to-use oral solution for the acute treatment of migraine with or without aura in adults; and GLOPERBA, a liquid oral version of the anti-gout medicine colchicine indicated for the prophylaxis of painful gout flares in adults.