Stock Traders Buy High Volume of Call Options on Cabaletta Bio (NASDAQ:CABA)

Key Points

• Traders purchased 11,001 call options on Cabaletta, a 756% spike above typical call volume, indicating unusually heavy bullish options activity.
• Shares fell 3.7% to $2.76 amid 1.8M shares traded; the company has a market cap of ~$306.7M and reported a -$0.40 EPS last quarter (beating estimates of -$0.45).
• Analyst and institutional interest is mixed but tilted positive: six Buy vs one Sell produce an average rating of Moderate Buy with a $17 target, while firms like Invesco, Comerica and Marshall Wace recently raised their stakes.

Cabaletta Bio, Inc. (NASDAQ:CABA - Get Free Report) saw some unusual options trading activity on Wednesday. Investors purchased 11,001 call options on the stock. This represents an increase of 756% compared to the typical volume of 1,285 call options.

Cabaletta Bio Stock Down 3.7%

NASDAQ:CABA traded down $0.11 during trading hours on Wednesday, hitting $2.76. 1,800,477 shares of the stock traded hands, compared to its average volume of 2,774,553. Cabaletta Bio has a 1 year low of $1.11 and a 1 year high of $3.78. The company has a market cap of $306.70 million, a price-to-earnings ratio of -1.21 and a beta of 3.30. The stock has a 50 day moving average price of $3.09 and a 200 day moving average price of $2.69.

Cabaletta Bio (NASDAQ:CABA - Get Free Report) last announced its quarterly earnings data on Monday, March 23rd. The company reported ($0.40) earnings per share (EPS) for the quarter, topping analysts' consensus estimates of ($0.45) by $0.05. Equities analysts forecast that Cabaletta Bio will post -1.5 earnings per share for the current fiscal year.

Wall Street Analysts Forecast Growth

Several research analysts have weighed in on the stock. Wall Street Zen downgraded shares of Cabaletta Bio from a "hold" rating to a "sell" rating in a research report on Saturday, April 18th. Weiss Ratings restated a "sell (d-)" rating on shares of Cabaletta Bio in a research note on Monday, April 20th. Guggenheim raised their target price on Cabaletta Bio from $15.00 to $16.00 and gave the stock a "buy" rating in a report on Tuesday, March 24th. Finally, Morgan Stanley cut their price target on Cabaletta Bio from $14.00 to $13.00 and set an "overweight" rating for the company in a report on Tuesday, March 24th. Six research analysts have rated the stock with a Buy rating and one has issued a Sell rating to the company's stock. According to MarketBeat, the stock currently has an average rating of "Moderate Buy" and an average target price of $17.00.

Institutional Investors Weigh In On Cabaletta Bio

Institutional investors and hedge funds have recently bought and sold shares of the business. Invesco Ltd. lifted its position in shares of Cabaletta Bio by 357.1% in the first quarter. Invesco Ltd. now owns 61,675 shares of the company's stock valued at $85,000 after acquiring an additional 48,181 shares in the last quarter. Comerica Bank grew its position in shares of Cabaletta Bio by 2,292.1% during the first quarter. Comerica Bank now owns 41,599 shares of the company's stock worth $58,000 after purchasing an additional 39,860 shares in the last quarter. AQR Capital Management LLC bought a new stake in Cabaletta Bio during the 1st quarter valued at approximately $102,000. XTX Topco Ltd bought a new stake in Cabaletta Bio during the 2nd quarter valued at approximately $148,000. Finally, Marshall Wace LLP lifted its holdings in Cabaletta Bio by 470.7% in the 2nd quarter. Marshall Wace LLP now owns 190,957 shares of the company's stock worth $290,000 after purchasing an additional 157,497 shares in the last quarter.

About Cabaletta Bio

Cabaletta Bio is a clinical-stage biotechnology company pioneering chimeric autoantibody receptor T cell (CAAR-T) therapies for B cell–mediated autoimmune diseases. Its proprietary platform engineers patient-derived T cells to selectively target and eliminate pathogenic B cells that produce disease-driving autoantibodies, with the aim of preserving overall immune function and reducing off-target toxicity.

The company's lead candidate, DSG3-CAART, is being evaluated in pemphigus vulgaris, a rare blistering disorder caused by autoantibodies against desmoglein 3.

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