Verrica Pharmaceuticals (NASDAQ:VRCA) Shares Gap Down - Here's What Happened

Key Points

• Verrica Pharmaceuticals shares gapped down from a previous close of $7.00 to open at $5.86, with the last traded price at $6.45.
• Analysts have generally rated Verrica Pharmaceuticals as a "hold," with an average target price of $8.00.
• The company reported better-than-expected quarterly earnings, with a loss of ($0.10) per share against estimates of ($0.14) and revenue of $3.44 million compared to the $2.53 million forecast.
• Institutional investors own 42.45% of the stock, with notable new stakes acquired by several hedge funds in the recent quarters.

Verrica Pharmaceuticals Inc. (NASDAQ:VRCA - Get Free Report)'s share price gapped down before the market opened on Friday . The stock had previously closed at $7.00, but opened at $5.86. Verrica Pharmaceuticals shares last traded at $6.45, with a volume of 29,813 shares trading hands.

Analyst Ratings Changes

A number of research analysts have recently weighed in on the stock. HC Wainwright reissued a "neutral" rating on shares of Verrica Pharmaceuticals in a research report on Tuesday, April 8th. Wall Street Zen raised shares of Verrica Pharmaceuticals from a "sell" rating to a "hold" rating in a report on Thursday, May 22nd. Finally, Needham & Company LLC reaffirmed a "hold" rating on shares of Verrica Pharmaceuticals in a report on Wednesday, May 14th. Five research analysts have rated the stock with a hold rating and one has assigned a buy rating to the company. According to MarketBeat, the company presently has a consensus rating of "Hold" and an average target price of $80.00.

Verrica Pharmaceuticals Stock Down 6.6%

The firm's 50-day moving average is $6.58 and its 200-day moving average is $6.10. The company has a market cap of $58.65 million, a PE ratio of -0.53 and a beta of 1.76.

Verrica Pharmaceuticals (NASDAQ:VRCA - Get Free Report) last announced its quarterly earnings results on Tuesday, May 13th. The company reported ($1.00) earnings per share (EPS) for the quarter, beating the consensus estimate of ($1.40) by $0.40. The company had revenue of $3.44 million for the quarter, compared to analysts' expectations of $2.53 million. As a group, equities research analysts anticipate that Verrica Pharmaceuticals Inc. will post -1.46 EPS for the current fiscal year.

Institutional Investors Weigh In On Verrica Pharmaceuticals

A number of institutional investors have recently made changes to their positions in the company. Caligan Partners LP bought a new position in Verrica Pharmaceuticals in the fourth quarter worth approximately $5,201,000. Boothbay Fund Management LLC bought a new position in Verrica Pharmaceuticals in the fourth quarter worth approximately $1,811,000. Sovran Advisors LLC raised its position in shares of Verrica Pharmaceuticals by 91.3% during the 2nd quarter. Sovran Advisors LLC now owns 750,391 shares of the company's stock valued at $398,000 after purchasing an additional 358,228 shares during the period. Geode Capital Management LLC raised its position in shares of Verrica Pharmaceuticals by 4.8% during the 4th quarter. Geode Capital Management LLC now owns 477,269 shares of the company's stock valued at $334,000 after purchasing an additional 21,789 shares during the period. Finally, Heights Capital Management Inc. bought a new stake in shares of Verrica Pharmaceuticals during the 4th quarter valued at $246,000. Hedge funds and other institutional investors own 42.45% of the company's stock.

About Verrica Pharmaceuticals

Verrica Pharmaceuticals Inc, a clinical-stage dermatology therapeutics company, develops medications for the treatment of skin diseases in the United States. Its product pipeline comprises YCANTH (VP-102), which is in phase III clinical trial for the treatment of common warts; and has completed phase II clinical trial for the treatment of external genital warts.