The Goldman Sachs Group Forecasts Strong Price Appreciation for Arcus Biosciences (NYSE:RCUS) Stock

Key Points

• The Goldman Sachs Group raised its price target on Arcus from $30 to $34 and kept a "buy" rating, implying roughly a 37% upside from the stock's current level.
• Shares fell 4.6% to $24.81 despite the upgrade, and Arcus reported a quarterly miss with (‑$1.02) EPS and revenue down 39.3% year-over-year, underscoring continued negative profitability.
• Analysts have a "Moderate Buy" consensus with an average price target of $33.11 (estimates range up to $47), and institutional investors hold about 92.9% of the shares.

Arcus Biosciences (NYSE:RCUS - Get Free Report) had its price target hoisted by equities research analysts at The Goldman Sachs Group from $30.00 to $34.00 in a report released on Thursday,Benzinga reports. The firm currently has a "buy" rating on the stock. The Goldman Sachs Group's price objective indicates a potential upside of 37.06% from the company's current price.

Other equities analysts have also issued research reports about the company. Leerink Partners set a $47.00 target price on Arcus Biosciences in a research note on Monday, April 20th. Wedbush increased their target price on Arcus Biosciences from $37.00 to $41.00 and gave the stock an "outperform" rating in a research note on Thursday, April 2nd. Truist Financial raised Arcus Biosciences to a "strong-buy" rating in a research note on Monday. Weiss Ratings reissued a "sell (d-)" rating on shares of Arcus Biosciences in a research note on Monday, April 20th. Finally, Wall Street Zen raised Arcus Biosciences from a "sell" rating to a "hold" rating in a research note on Saturday, February 28th. One research analyst has rated the stock with a Strong Buy rating, six have given a Buy rating, three have issued a Hold rating and one has assigned a Sell rating to the company. According to data from MarketBeat, the company has a consensus rating of "Moderate Buy" and an average price target of $33.11.

Arcus Biosciences Trading Down 4.6%

Shares of Arcus Biosciences stock traded down $1.19 during trading hours on Thursday, hitting $24.81. The company's stock had a trading volume of 325,164 shares, compared to its average volume of 1,252,549. Arcus Biosciences has a twelve month low of $7.72 and a twelve month high of $28.72. The firm has a fifty day moving average of $22.84 and a 200-day moving average of $22.04. The stock has a market cap of $3.12 billion, a price-to-earnings ratio of -7.80 and a beta of 0.87. The company has a debt-to-equity ratio of 0.16, a quick ratio of 4.36 and a current ratio of 4.36.

Arcus Biosciences (NYSE:RCUS - Get Free Report) last announced its quarterly earnings results on Tuesday, May 5th. The company reported ($1.02) EPS for the quarter, missing the consensus estimate of ($0.92) by ($0.10). Arcus Biosciences had a negative net margin of 156.36% and a negative return on equity of 68.50%. The business had revenue of $17.00 million during the quarter, compared to analyst estimates of $29.49 million. During the same period last year, the company earned ($1.14) EPS. The business's revenue for the quarter was down 39.3% on a year-over-year basis. Research analysts forecast that Arcus Biosciences will post -3.52 EPS for the current year.

Institutional Investors Weigh In On Arcus Biosciences

Large investors have recently bought and sold shares of the stock. Hantz Financial Services Inc. increased its holdings in Arcus Biosciences by 121.9% during the 4th quarter. Hantz Financial Services Inc. now owns 1,604 shares of the company's stock worth $38,000 after purchasing an additional 881 shares during the period. SBI Securities Co. Ltd. increased its holdings in Arcus Biosciences by 13,547.6% during the 3rd quarter. SBI Securities Co. Ltd. now owns 2,866 shares of the company's stock worth $39,000 after purchasing an additional 2,845 shares during the period. T. Rowe Price Investment Management Inc. purchased a new stake in Arcus Biosciences during the 4th quarter worth about $39,000. KBC Group NV purchased a new stake in Arcus Biosciences during the 1st quarter worth about $50,000. Finally, Strs Ohio purchased a new stake in Arcus Biosciences during the 1st quarter worth about $67,000. Hedge funds and other institutional investors own 92.89% of the company's stock.

About Arcus Biosciences

Arcus Biosciences is a clinical-stage biopharmaceutical company focused on the discovery, development and commercialization of novel cancer immunotherapies. The company's research platform centers on modulating tumor microenvironments and immune checkpoints through both small-molecule and antibody-based candidates. Arcus aims to enhance antitumor immune responses by targeting pathways such as the adenosine axis and inhibitory receptors on immune cells.

The company's lead clinical programs include etrumadenant, an orally administered A2A adenosine receptor antagonist being evaluated in combination with anti-PD-1 therapy, and domvanalimab, an anti-TIGIT monoclonal antibody.

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