Vericel (NASDAQ:VCEL) Reaches New 1-Year High - Still a Buy?

Key Points

• Vericel shares hit a new 52-week high, trading as high as $47.89 and recently changing hands around $47.47. The move came amid strong momentum, with the stock well above its 50-day and 200-day moving averages.
• Recent earnings topped expectations as Vericel reported a smaller-than-expected loss of $0.12 per share and revenue of $68.43 million, up 30.1% year over year. Analysts now expect the company to earn $0.49 per share for the current fiscal year.
• Wall Street remains mixed on the stock, with an average rating of Hold and an average price target of $52.50. Recent insider selling and a few rating changes add some caution, even though several analysts still rate Vericel a Buy.

Vericel Corporation (NASDAQ:VCEL - Get Free Report) shares reached a new 52-week high during trading on Thursday . The stock traded as high as $47.89 and last traded at $47.4650, with a volume of 41725 shares. The stock had previously closed at $47.02.

Analyst Upgrades and Downgrades

A number of brokerages have weighed in on VCEL. Weiss Ratings raised Vericel from a "sell (d)" rating to a "sell (d+)" rating in a research report on Tuesday, June 16th. Wall Street Zen downgraded Vericel from a "buy" rating to a "hold" rating in a research report on Sunday, June 14th. Truist Financial decreased their price objective on Vericel from $48.00 to $42.00 and set a "buy" rating for the company in a report on Wednesday, April 15th. Finally, HC Wainwright reaffirmed a "buy" rating and issued a $64.00 price objective on shares of Vericel in a research note on Friday, May 8th. Four equities research analysts have rated the stock with a Buy rating, two have given a Hold rating and one has assigned a Sell rating to the company's stock. Based on data from MarketBeat.com, the company currently has an average rating of "Hold" and an average price target of $52.50.

Vericel Stock Performance

The stock has a fifty day moving average price of $37.88 and a 200-day moving average price of $36.33. The firm has a market capitalization of $2.44 billion, a PE ratio of 113.88 and a beta of 1.07.

Vericel (NASDAQ:VCEL - Get Free Report) last issued its quarterly earnings data on Thursday, May 7th. The biotechnology company reported ($0.12) earnings per share for the quarter, topping analysts' consensus estimates of ($0.15) by $0.03. The firm had revenue of $68.43 million during the quarter, compared to analysts' expectations of $63.68 million. Vericel had a return on equity of 6.41% and a net margin of 7.35%.The firm's quarterly revenue was up 30.1% on a year-over-year basis. During the same period in the prior year, the business posted ($0.23) EPS. Research analysts expect that Vericel Corporation will post 0.49 earnings per share for the current fiscal year.

Insiders Place Their Bets

In other news, insider Jonathan Siegal sold 2,732 shares of the stock in a transaction on Friday, June 26th. The stock was sold at an average price of $44.90, for a total transaction of $122,666.80. Following the completion of the sale, the insider owned 886 shares in the company, valued at approximately $39,781.40. This represents a 75.51% decrease in their position. The sale was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, CFO Joseph Anthony Mara, Jr. sold 5,000 shares of the firm's stock in a transaction on Friday, June 26th. The stock was sold at an average price of $44.75, for a total value of $223,750.00. Following the completion of the sale, the chief financial officer directly owned 16,009 shares of the company's stock, valued at $716,402.75. The trade was a 23.80% decrease in their position. The SEC filing for this sale provides additional information. In the last ninety days, insiders sold 47,732 shares of company stock valued at $2,084,167. Company insiders own 7.60% of the company's stock.

Institutional Investors Weigh In On Vericel

Institutional investors have recently added to or reduced their stakes in the business. GAMMA Investing LLC increased its holdings in shares of Vericel by 17.7% during the second quarter. GAMMA Investing LLC now owns 1,886 shares of the biotechnology company's stock valued at $84,000 after acquiring an additional 283 shares in the last quarter. State of Alaska Department of Revenue increased its stake in Vericel by 1.4% during the 4th quarter. State of Alaska Department of Revenue now owns 25,744 shares of the biotechnology company's stock valued at $927,000 after purchasing an additional 353 shares in the last quarter. Osaic Holdings Inc. increased its stake in Vericel by 13.7% during the 2nd quarter. Osaic Holdings Inc. now owns 2,937 shares of the biotechnology company's stock valued at $125,000 after purchasing an additional 353 shares in the last quarter. California State Teachers Retirement System raised its holdings in shares of Vericel by 0.8% in the second quarter. California State Teachers Retirement System now owns 45,404 shares of the biotechnology company's stock worth $1,932,000 after buying an additional 382 shares during the last quarter. Finally, Commonwealth Equity Services LLC raised its holdings in shares of Vericel by 3.6% in the fourth quarter. Commonwealth Equity Services LLC now owns 11,698 shares of the biotechnology company's stock worth $421,000 after buying an additional 410 shares during the last quarter.

About Vericel

Vericel Corporation is a biotechnology company specializing in the development, manufacturing and commercialization of cell-based therapies for patients with severe diseases and conditions. The company's expertise lies in regenerative medicine, where it harnesses the power of autologous cell processing to create products designed to restore function and promote healing in damaged tissues.

Vericel currently markets two FDA-approved therapies. MACI® (autologous cultured chondrocytes on porcine collagen membrane) is indicated for the repair of symptomatic cartilage defects of the knee in adult patients.

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