Terns Pharmaceuticals (NASDAQ:TERN) Stock Price Up 7% - Here's What Happened

Key Points

• Terns Pharmaceuticals shares increased by 7% mid-day on Tuesday, rising to $7.45 despite a 94% drop in trading volume compared to the average.
• BMO Capital Markets downgraded Terns' price target from $26.00 to $15.00, while three analysts rate the stock as a Buy, and two as Hold.
• Insider purchases increased significantly, with CFO Andrew Gengos and CEO Amy L. Burroughs both acquiring shares, signaling confidence in the company's prospects.

Shares of Terns Pharmaceuticals, Inc. (NASDAQ:TERN - Get Free Report) rose 7% during mid-day trading on Tuesday . The stock traded as high as $7.29 and last traded at $7.45. Approximately 63,917 shares changed hands during mid-day trading, a decline of 94% from the average daily volume of 1,154,082 shares. The stock had previously closed at $6.96.

Wall Street Analyst Weigh In

Separately, BMO Capital Markets decreased their price target on shares of Terns Pharmaceuticals from $26.00 to $15.00 and set an "outperform" rating for the company in a report on Tuesday, May 13th. Three investment analysts have rated the stock with a Buy rating and two have given a Hold rating to the stock. Based on data from MarketBeat.com, Terns Pharmaceuticals currently has a consensus rating of "Moderate Buy" and an average target price of $15.63.

Terns Pharmaceuticals Stock Performance

The firm's 50-day simple moving average is $5.64 and its 200 day simple moving average is $4.05. The stock has a market capitalization of $654.31 million, a P/E ratio of -7.13 and a beta of -0.04.

Terns Pharmaceuticals (NASDAQ:TERN - Get Free Report) last issued its quarterly earnings results on Tuesday, August 5th. The company reported ($0.26) EPS for the quarter, topping the consensus estimate of ($0.28) by $0.02. As a group, research analysts expect that Terns Pharmaceuticals, Inc. will post -1.19 earnings per share for the current fiscal year.

Insider Activity

In other news, CFO Andrew Gengos bought 10,000 shares of the company's stock in a transaction dated Friday, June 27th. The shares were bought at an average cost of $3.93 per share, with a total value of $39,300.00. Following the acquisition, the chief financial officer owned 25,000 shares in the company, valued at $98,250. This trade represents a 66.67% increase in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Also, CEO Amy L. Burroughs bought 23,314 shares of the company's stock in a transaction dated Wednesday, June 25th. The stock was purchased at an average cost of $3.87 per share, for a total transaction of $90,225.18. Following the completion of the acquisition, the chief executive officer owned 47,083 shares in the company, valued at $182,211.21. This trade represents a 98.09% increase in their position. The disclosure for this purchase can be found here. Insiders have acquired a total of 48,314 shares of company stock worth $186,575 over the last three months. Insiders own 1.50% of the company's stock.

Institutional Investors Weigh In On Terns Pharmaceuticals

Institutional investors and hedge funds have recently modified their holdings of the company. Vontobel Holding Ltd. bought a new stake in shares of Terns Pharmaceuticals in the 1st quarter valued at about $39,000. Parkman Healthcare Partners LLC grew its stake in Terns Pharmaceuticals by 51.9% in the 4th quarter. Parkman Healthcare Partners LLC now owns 829,105 shares of the company's stock valued at $4,593,000 after buying an additional 283,354 shares during the last quarter. Nuveen Asset Management LLC grew its stake in Terns Pharmaceuticals by 30.6% in the 4th quarter. Nuveen Asset Management LLC now owns 2,633,918 shares of the company's stock valued at $14,592,000 after buying an additional 617,009 shares during the last quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. grew its stake in Terns Pharmaceuticals by 26.2% in the 4th quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 39,784 shares of the company's stock valued at $220,000 after buying an additional 8,261 shares during the last quarter. Finally, BNP Paribas Financial Markets acquired a new position in Terns Pharmaceuticals in the 4th quarter valued at about $1,242,000. 98.26% of the stock is owned by institutional investors.

Terns Pharmaceuticals Company Profile

Terns Pharmaceuticals, Inc, a clinical-stage biopharmaceutical company, develops small-molecule product candidates for the treatment of oncology, metabolic dysfunction-associated steatohepatitis (MASH), and obesity. The company develops TERN-701, an allosteric BCR-ABL tyrosine kinase inhibitor (TKI) that is in phase 1 clinical trial for chronic myeloid leukemia (CML), a form of cancer that starts in bone marrow.

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