Veracyte (NASDAQ:VCYT) Shares Gap Up - Should You Buy?

Key Points

• Veracyte's stock price experienced a significant gap up from $23.59 to $25.42 before trading at $24.85, with a trading volume of 708,230 shares.
• Analyst ratings reveal that while eight analysts maintain a buy rating, there have been recent downgrades, including a shift from "buy" to "hold" by Wall Street Zen.
• The company's market capitalization stands at $1.97 billion with a price-to-earnings ratio of 61.40, indicating a premium valuation.
• Institutional investors have shown growing interest, with significant increases in holdings from firms like Versant Capital Management and Covestor Ltd.

Veracyte, Inc. (NASDAQ:VCYT - Get Free Report) shares gapped up before the market opened on Friday . The stock had previously closed at $23.59, but opened at $25.42. Veracyte shares last traded at $24.85, with a volume of 708,230 shares.

Wall Street Analyst Weigh In

Several analysts have recently commented on the stock. Wall Street Zen upgraded shares of Veracyte from a "hold" rating to a "buy" rating in a report on Saturday. Guggenheim decreased their price objective on shares of Veracyte from $45.00 to $37.00 and set a "buy" rating for the company in a research note on Wednesday, April 9th. Needham & Company LLC cut their target price on Veracyte from $51.00 to $41.00 and set a "buy" rating on the stock in a research note on Thursday, May 8th. Finally, UBS Group reduced their target price on Veracyte from $49.00 to $42.00 and set a "buy" rating for the company in a report on Thursday, May 8th. One investment analyst has rated the stock with a sell rating, one has given a hold rating and nine have assigned a buy rating to the company. According to data from MarketBeat.com, Veracyte has a consensus rating of "Moderate Buy" and a consensus target price of $40.90.

Veracyte Stock Down 1.7%

The firm has a market capitalization of $1.93 billion, a PE ratio of 59.98 and a beta of 2.07. The stock has a 50-day simple moving average of $26.54 and a 200-day simple moving average of $31.97.

Institutional Investors Weigh In On Veracyte

Large investors have recently added to or reduced their stakes in the company. Synovus Financial Corp lifted its holdings in Veracyte by 1.2% during the fourth quarter. Synovus Financial Corp now owns 23,132 shares of the biotechnology company's stock valued at $916,000 after purchasing an additional 267 shares during the last quarter. Xponance Inc. raised its position in shares of Veracyte by 5.7% in the first quarter. Xponance Inc. now owns 6,860 shares of the biotechnology company's stock valued at $203,000 after purchasing an additional 370 shares during the period. Blair William & Co. IL lifted its stake in shares of Veracyte by 3.5% during the 1st quarter. Blair William & Co. IL now owns 16,092 shares of the biotechnology company's stock valued at $477,000 after buying an additional 550 shares in the last quarter. Sherbrooke Park Advisers LLC lifted its stake in shares of Veracyte by 7.0% during the 4th quarter. Sherbrooke Park Advisers LLC now owns 9,493 shares of the biotechnology company's stock valued at $376,000 after buying an additional 618 shares in the last quarter. Finally, Cerity Partners LLC boosted its holdings in Veracyte by 6.4% in the 4th quarter. Cerity Partners LLC now owns 13,486 shares of the biotechnology company's stock worth $524,000 after buying an additional 814 shares during the period.

Veracyte Company Profile

Veracyte, Inc engages in the research, development and commercialization of diagnostic products. The firm's portfolio includes Afirma, Percepta, and Envisia. It intends to treat thyroid cancer, improve lung cancer screening, and clarify the diagnosis of idiopathic pulmonary fibrosis. The company was founded by Bonnie H.