Short Interest in Cingulate Inc. (NASDAQ:CING) Rises By 106.8%

Key Points

• Short interest surged 106.8% in March to 1,078,595 shares (about 9.7% of shares sold short), with a days-to-cover ratio of ~1.2 based on average volume.
• Insiders increased positions, acquiring 33,074 shares in the last 90 days (including CEO and a director); insiders now own 4.33% of the stock while institutional investors hold about 41.31%.
• Analysts are mixed and fundamentals are weak: the stock has a consensus "Hold" with a $34.50 target after recent price-target cuts, but Cingulate missed quarterly EPS (‑$0.84 vs. ‑$0.56) and trades near $5.76 with a market cap of roughly $67M.

Cingulate Inc. (NASDAQ:CING - Get Free Report) saw a large growth in short interest in the month of March. As of March 31st, there was short interest totaling 1,078,595 shares, a growth of 106.8% from the March 15th total of 521,519 shares. Currently, 9.7% of the company's shares are sold short. Based on an average daily trading volume, of 890,395 shares, the days-to-cover ratio is currently 1.2 days.

Analyst Upgrades and Downgrades

Several research firms have recently weighed in on CING. Ascendiant Capital Markets reduced their price objective on Cingulate from $58.00 to $55.00 and set a "buy" rating on the stock in a research note on Wednesday. Roth Mkm reduced their price objective on Cingulate from $16.00 to $14.00 and set a "buy" rating on the stock in a research note on Monday, March 23rd. Finally, Weiss Ratings reaffirmed a "sell (e+)" rating on shares of Cingulate in a research note on Wednesday, January 21st. Two investment analysts have rated the stock with a Buy rating and one has given a Sell rating to the company's stock. According to MarketBeat.com, the stock currently has an average rating of "Hold" and a consensus target price of $34.50.

Insider Activity

In other news, CEO Shane J. Schaffer acquired 6,809 shares of Cingulate stock in a transaction dated Friday, February 6th. The shares were acquired at an average cost of $5.04 per share, with a total value of $34,317.36. Following the purchase, the chief executive officer directly owned 10,175 shares of the company's stock, valued at approximately $51,282. This trade represents a 202.29% increase in their position. The acquisition was disclosed in a filing with the Securities & Exchange Commission, which is available at this link. Also, Director Peter J. Werth acquired 19,455 shares of Cingulate stock in a transaction dated Friday, February 6th. The stock was purchased at an average cost of $5.04 per share, for a total transaction of $98,053.20. Following the completion of the purchase, the director directly owned 117,449 shares in the company, valued at approximately $591,942.96. This represents a 19.85% increase in their ownership of the stock. Additional details regarding this purchase are available in the official SEC disclosure. Insiders acquired a total of 33,074 shares of company stock valued at $166,693 in the last 90 days. 4.33% of the stock is owned by company insiders.

Hedge Funds Weigh In On Cingulate

Several hedge funds and other institutional investors have recently bought and sold shares of CING. XTX Topco Ltd acquired a new position in Cingulate during the 2nd quarter worth approximately $45,000. Bank of America Corp DE raised its position in shares of Cingulate by 283.1% in the 2nd quarter. Bank of America Corp DE now owns 7,501 shares of the company's stock valued at $31,000 after purchasing an additional 5,543 shares in the last quarter. Quantum Private Wealth LLC raised its position in shares of Cingulate by 140.0% in the 3rd quarter. Quantum Private Wealth LLC now owns 24,000 shares of the company's stock valued at $94,000 after purchasing an additional 14,000 shares in the last quarter. Soltis Investment Advisors LLC acquired a new position in shares of Cingulate in the 4th quarter valued at approximately $43,000. Finally, Geode Capital Management LLC raised its position in shares of Cingulate by 43.9% in the 4th quarter. Geode Capital Management LLC now owns 61,035 shares of the company's stock valued at $265,000 after purchasing an additional 18,629 shares in the last quarter. 41.31% of the stock is owned by institutional investors and hedge funds.

Cingulate Stock Down 3.4%

Cingulate stock traded down $0.20 during midday trading on Friday, hitting $5.76. 300,119 shares of the company were exchanged, compared to its average volume of 672,068. The company's fifty day moving average price is $6.78 and its 200-day moving average price is $5.09. The company has a market cap of $66.99 million, a PE ratio of -1.33 and a beta of -0.76. The company has a debt-to-equity ratio of 0.46, a current ratio of 1.16 and a quick ratio of 1.16. Cingulate has a fifty-two week low of $3.20 and a fifty-two week high of $11.89.

Cingulate (NASDAQ:CING - Get Free Report) last released its quarterly earnings results on Wednesday, March 18th. The company reported ($0.84) EPS for the quarter, missing the consensus estimate of ($0.56) by ($0.28). On average, research analysts predict that Cingulate will post -11.69 EPS for the current fiscal year.

Cingulate Company Profile

Cingulate Inc, a biopharmaceutical company, focuses on the development of pharmaceutical products for the treatment of attention deficit/hyperactivity disorder and anxiety in the United States. The company's stimulant medications are CTx-1301 (dexmethylphenidate), which is in phase 3 clinical trial, as well as CTx-1302 (dextroamphetamine), which is in investigational new drug application development for the treatment of attention deficit/hyperactivity disorder intended for children, adolescents, and adults.

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