Ultragenyx Pharmaceutical (NASDAQ:RARE) Cut to "Strong Sell" at Wall Street Zen

Key Points

• Wall Street Zen downgraded Ultragenyx Pharmaceutical from hold to strong sell, adding to mixed analyst sentiment around the stock.
• The company’s latest earnings report was weak, with EPS of -$1.84 versus expectations of -$1.49 and revenue of $136 million versus the $158.19 million consensus.
• Despite the downgrade, broader analyst coverage remains more constructive overall, with a Moderate Buy consensus and an average price target of $60.41; the stock opened at $26.12 on Monday.

Ultragenyx Pharmaceutical (NASDAQ:RARE - Get Free Report) was downgraded by stock analysts at Wall Street Zen from a "hold" rating to a "strong sell" rating in a note issued to investors on Monday.

RARE has been the subject of several other research reports. Truist Financial raised shares of Ultragenyx Pharmaceutical to a "strong-buy" rating in a research report on Wednesday, March 25th. Barclays dropped their target price on shares of Ultragenyx Pharmaceutical from $44.00 to $43.00 and set an "overweight" rating for the company in a research report on Wednesday, April 29th. Guggenheim dropped their target price on shares of Ultragenyx Pharmaceutical from $52.00 to $43.00 and set a "buy" rating for the company in a research report on Friday. Weiss Ratings raised shares of Ultragenyx Pharmaceutical from a "sell (e+)" rating to a "sell (d-)" rating in a research report on Friday. Finally, JPMorgan Chase & Co. lowered their price objective on shares of Ultragenyx Pharmaceutical from $120.00 to $74.00 and set an "overweight" rating for the company in a research report on Thursday, March 12th. One equities research analyst has rated the stock with a Strong Buy rating, fourteen have issued a Buy rating, two have issued a Hold rating and one has issued a Sell rating to the company. Based on data from MarketBeat.com, the stock currently has an average rating of "Moderate Buy" and a consensus price target of $60.41.

Ultragenyx Pharmaceutical Stock Performance

RARE opened at $26.12 on Monday. The company has a 50-day moving average of $22.68 and a 200-day moving average of $26.80. The company has a market capitalization of $2.57 billion, a P/E ratio of -4.27 and a beta of 0.39. Ultragenyx Pharmaceutical has a 1-year low of $18.29 and a 1-year high of $42.37.

Ultragenyx Pharmaceutical (NASDAQ:RARE - Get Free Report) last released its earnings results on Tuesday, May 5th. The biopharmaceutical company reported ($1.84) earnings per share for the quarter, missing the consensus estimate of ($1.49) by ($0.35). The company had revenue of $136.00 million during the quarter, compared to the consensus estimate of $158.19 million. Ultragenyx Pharmaceutical had a negative return on equity of 1,024.42% and a negative net margin of 91.03%.Ultragenyx Pharmaceutical's revenue for the quarter was down 2.2% on a year-over-year basis. During the same period in the previous year, the firm posted ($1.57) EPS. As a group, sell-side analysts expect that Ultragenyx Pharmaceutical will post -4.61 earnings per share for the current fiscal year.

Insider Buying and Selling at Ultragenyx Pharmaceutical

In related news, CEO Emil D. Kakkis sold 54,404 shares of the business's stock in a transaction dated Monday, March 2nd. The shares were sold at an average price of $22.80, for a total transaction of $1,240,411.20. Following the completion of the sale, the chief executive officer owned 658,994 shares of the company's stock, valued at $15,025,063.20. This represents a 7.63% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, EVP Eric Crombez sold 7,029 shares of the business's stock in a transaction dated Monday, March 2nd. The shares were sold at an average price of $22.80, for a total transaction of $160,261.20. Following the sale, the executive vice president directly owned 76,301 shares of the company's stock, valued at approximately $1,739,662.80. This represents a 8.44% decrease in their position. The SEC filing for this sale provides additional information. Over the last quarter, insiders have sold 111,522 shares of company stock worth $2,543,214. 5.20% of the stock is owned by company insiders.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently bought and sold shares of RARE. Assetmark Inc. boosted its stake in Ultragenyx Pharmaceutical by 1,706.7% during the 3rd quarter. Assetmark Inc. now owns 1,084 shares of the biopharmaceutical company's stock valued at $33,000 after purchasing an additional 1,024 shares during the period. Huntington National Bank boosted its stake in Ultragenyx Pharmaceutical by 56.2% during the 3rd quarter. Huntington National Bank now owns 1,092 shares of the biopharmaceutical company's stock valued at $33,000 after purchasing an additional 393 shares during the period. Parallel Advisors LLC boosted its stake in Ultragenyx Pharmaceutical by 778.4% during the 1st quarter. Parallel Advisors LLC now owns 1,625 shares of the biopharmaceutical company's stock valued at $34,000 after purchasing an additional 1,440 shares during the period. Leonteq Securities AG boosted its stake in Ultragenyx Pharmaceutical by 288.5% during the 1st quarter. Leonteq Securities AG now owns 1,795 shares of the biopharmaceutical company's stock valued at $38,000 after purchasing an additional 1,333 shares during the period. Finally, Danske Bank A S acquired a new position in Ultragenyx Pharmaceutical during the 3rd quarter valued at about $39,000. 97.67% of the stock is owned by institutional investors and hedge funds.

Ultragenyx Pharmaceutical Company Profile

Ultragenyx Pharmaceutical Inc is a biopharmaceutical company focused on developing and commercializing therapies for rare and ultra-rare genetic disorders. Since its founding in 2010 and headquarters in Novato, California, the company has built expertise in protein replacement therapies, small molecules and gene therapy approaches to address high-unmet medical needs. Ultragenyx applies a precision medicine model, leveraging both in-house research and strategic collaborations to advance its product pipeline from discovery through regulatory approval.

The company's commercial portfolio includes Crysvita (burosumab-tmyl) for X-linked hypophosphatemia, Mepsevii (vestronidase alfa-vjbk) for mucopolysaccharidosis VII and Dojolvi (triheptanoin) for long-chain fatty acid oxidation disorders.

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