Vanda Pharmaceuticals (NASDAQ:VNDA) Share Price Passes Above 200-Day Moving Average - Should You Sell?

Key Points

• Vanda's stock crossed above its 200-day moving average (200‑day MA $6.51), trading as high as $7.04 and last at $6.97 on volume of ~768,496 shares.
• Wall Street's consensus is a Moderate Buy with a consensus target of $14.90—analysts are mixed (five Buys, two Holds, one Sell) and several firms have recently raised target prices.
• Fundamentals show weakness: Vanda missed Q results (EPS ($2.39) vs. ($2.18) expected), has negative margins/ROE, and insiders have sold shares (314,342 shares sold in the last 90 days) despite ~88% institutional ownership.

Vanda Pharmaceuticals Inc. (NASDAQ:VNDA - Get Free Report)'s stock price crossed above its 200-day moving average during trading on Monday . The stock has a 200-day moving average of $6.51 and traded as high as $7.04. Vanda Pharmaceuticals shares last traded at $6.97, with a volume of 768,496 shares traded.

Wall Street Analysts Forecast Growth

Several research analysts have weighed in on VNDA shares. UBS Group reiterated a "buy" rating on shares of Vanda Pharmaceuticals in a research note on Monday, January 5th. Zacks Research downgraded Vanda Pharmaceuticals from a "strong-buy" rating to a "hold" rating in a research note on Wednesday, February 18th. Jefferies Financial Group lifted their target price on Vanda Pharmaceuticals from $5.00 to $7.50 and gave the company a "hold" rating in a research note on Wednesday, December 31st. Cantor Fitzgerald reiterated an "overweight" rating on shares of Vanda Pharmaceuticals in a research note on Wednesday, December 17th. Finally, B. Riley Financial lifted their target price on Vanda Pharmaceuticals from $11.00 to $14.00 and gave the company a "buy" rating in a research note on Wednesday, December 31st. Five research analysts have rated the stock with a Buy rating, two have issued a Hold rating and one has given a Sell rating to the company. According to MarketBeat.com, Vanda Pharmaceuticals presently has a consensus rating of "Moderate Buy" and a consensus target price of $14.90.

Vanda Pharmaceuticals Stock Performance

The company has a debt-to-equity ratio of 0.01, a current ratio of 2.39 and a quick ratio of 2.38. The stock has a market capitalization of $411.98 million, a PE ratio of -1.87 and a beta of 0.71. The stock has a 50 day moving average of $7.60 and a two-hundred day moving average of $6.51.

Vanda Pharmaceuticals (NASDAQ:VNDA - Get Free Report) last posted its quarterly earnings results on Wednesday, February 11th. The biopharmaceutical company reported ($2.39) earnings per share for the quarter, missing analysts' consensus estimates of ($2.18) by ($0.21). Vanda Pharmaceuticals had a negative net margin of 102.02% and a negative return on equity of 23.85%. The business had revenue of $57.22 million during the quarter, compared to analysts' expectations of $59.28 million. Research analysts expect that Vanda Pharmaceuticals Inc. will post -1.12 EPS for the current fiscal year.

Insider Activity

In related news, CMO Joakim Wijkstrom sold 30,800 shares of Vanda Pharmaceuticals stock in a transaction on Monday, March 2nd. The stock was sold at an average price of $8.27, for a total transaction of $254,716.00. Following the completion of the transaction, the chief marketing officer directly owned 333,469 shares of the company's stock, valued at approximately $2,757,788.63. The trade was a 8.46% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which can be accessed through this link. Also, SVP Timothy Williams sold 42,434 shares of Vanda Pharmaceuticals stock in a transaction on Monday, March 2nd. The stock was sold at an average price of $8.27, for a total value of $350,929.18. Following the transaction, the senior vice president directly owned 377,450 shares of the company's stock, valued at approximately $3,121,511.50. This represents a 10.11% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders sold a total of 314,342 shares of company stock valued at $2,583,985 in the last 90 days. Insiders own 10.00% of the company's stock.

Hedge Funds Weigh In On Vanda Pharmaceuticals

Several hedge funds and other institutional investors have recently bought and sold shares of the company. Vanguard Group Inc. raised its holdings in Vanda Pharmaceuticals by 0.4% during the third quarter. Vanguard Group Inc. now owns 3,587,139 shares of the biopharmaceutical company's stock worth $17,900,000 after purchasing an additional 14,336 shares during the last quarter. Millennium Management LLC raised its holdings in shares of Vanda Pharmaceuticals by 220.0% in the first quarter. Millennium Management LLC now owns 2,139,591 shares of the biopharmaceutical company's stock worth $9,821,000 after acquiring an additional 1,470,898 shares during the last quarter. AIGH Capital Management LLC acquired a new position in shares of Vanda Pharmaceuticals in the fourth quarter worth $17,626,000. Krensavage Asset Management LLC raised its holdings in shares of Vanda Pharmaceuticals by 15.2% in the third quarter. Krensavage Asset Management LLC now owns 1,180,388 shares of the biopharmaceutical company's stock worth $5,890,000 after acquiring an additional 155,505 shares during the last quarter. Finally, Empire Financial Management Company LLC raised its holdings in shares of Vanda Pharmaceuticals by 46.2% in the fourth quarter. Empire Financial Management Company LLC now owns 1,108,245 shares of the biopharmaceutical company's stock worth $9,775,000 after acquiring an additional 350,154 shares during the last quarter. 88.14% of the stock is owned by institutional investors and hedge funds.

Vanda Pharmaceuticals Company Profile

Vanda Pharmaceuticals Inc is a clinical-stage biopharmaceutical company focused on the development and commercialization of innovative therapies for central nervous system (CNS) disorders and rare diseases. The company's research and development efforts center on sleep-wake regulation, mood disorders, and movement disorders. Vanda's mission is to address unmet medical needs by advancing novel molecules through clinical trials and regulatory review.

Vanda's flagship commercial product is Hetlioz (tasimelteon), a melatonin receptor agonist approved by the U.S.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.