Vir Biotechnology (NASDAQ:VIR) Shares Gap Up Following Analyst Upgrade

Key Points

• Vir Biotechnology shares surged following an upgrade by Bank of America, which changed its rating from neutral to buy, targeting a price of $14.00 per share.
• Eight analysts currently rate Vir Biotechnology stock as a Buy, indicating strong market confidence, with a consensus average target price of $28.44.
• The company's recent earnings report showed a significant decline in revenue, falling 60.5% compared to the same quarter last year, with a missed earnings per share estimate of ($0.80).

Vir Biotechnology, Inc. (NASDAQ:VIR - Get Free Report) gapped up before the market opened on Wednesday after Bank of America upgraded the stock from a neutral rating to a buy rating. The stock had previously closed at $4.44, but opened at $4.98. Bank of America now has a $14.00 price target on the stock. Vir Biotechnology shares last traded at $5.03, with a volume of 3,220,256 shares trading hands.

Several other analysts have also recently commented on VIR. Needham & Company LLC restated a "buy" rating and set a $14.00 price objective on shares of Vir Biotechnology in a research note on Thursday, May 22nd. Raymond James Financial initiated coverage on shares of Vir Biotechnology in a research note on Friday, July 11th. They set an "outperform" rating for the company. Eight analysts have rated the stock with a Buy rating and one has given a Hold rating to the company's stock. Based on data from MarketBeat, the company currently has a consensus rating of "Moderate Buy" and an average target price of $28.44.

Insider Buying and Selling at Vir Biotechnology

In related news, EVP Mark Eisner sold 6,796 shares of the business's stock in a transaction on Tuesday, July 15th. The shares were sold at an average price of $5.47, for a total value of $37,174.12. Following the completion of the transaction, the executive vice president directly owned 108,204 shares in the company, valued at $591,875.88. The trade was a 5.91% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available at the SEC website. Also, Director Vicki L. Sato sold 22,000 shares of the business's stock in a transaction on Tuesday, July 1st. The shares were sold at an average price of $5.10, for a total transaction of $112,200.00. Following the completion of the transaction, the director owned 1,298,391 shares of the company's stock, valued at approximately $6,621,794.10. This represents a 1.67% decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last quarter, insiders sold 57,582 shares of company stock valued at $294,930. Company insiders own 16.00% of the company's stock.

Hedge Funds Weigh In On Vir Biotechnology

A number of large investors have recently added to or reduced their stakes in the stock. State of Tennessee Department of Treasury raised its position in Vir Biotechnology by 3.2% during the fourth quarter. State of Tennessee Department of Treasury now owns 39,268 shares of the company's stock worth $288,000 after acquiring an additional 1,227 shares during the period. PNC Financial Services Group Inc. raised its position in Vir Biotechnology by 26.2% during the first quarter. PNC Financial Services Group Inc. now owns 10,459 shares of the company's stock worth $68,000 after acquiring an additional 2,171 shares during the period. Rhumbline Advisers raised its position in Vir Biotechnology by 1.0% during the second quarter. Rhumbline Advisers now owns 228,949 shares of the company's stock worth $1,154,000 after acquiring an additional 2,300 shares during the period. Focus Partners Wealth raised its position in Vir Biotechnology by 15.3% during the first quarter. Focus Partners Wealth now owns 19,317 shares of the company's stock worth $125,000 after acquiring an additional 2,566 shares during the period. Finally, Invesco Ltd. raised its position in Vir Biotechnology by 0.6% during the fourth quarter. Invesco Ltd. now owns 398,772 shares of the company's stock worth $2,927,000 after acquiring an additional 2,574 shares during the period. 65.32% of the stock is currently owned by institutional investors and hedge funds.

Vir Biotechnology Stock Up 11.2%

The stock's 50-day simple moving average is $5.10 and its two-hundred day simple moving average is $5.96. The company has a market capitalization of $685.85 million, a price-to-earnings ratio of -1.24 and a beta of 1.18.

Vir Biotechnology (NASDAQ:VIR - Get Free Report) last released its earnings results on Wednesday, August 6th. The company reported ($0.80) earnings per share (EPS) for the quarter, missing analysts' consensus estimates of ($0.72) by ($0.08). The business had revenue of $1.21 million for the quarter, compared to analysts' expectations of $2.38 million. Vir Biotechnology had a negative return on equity of 50.22% and a negative net margin of 2,895.94%.Vir Biotechnology's quarterly revenue was down 60.5% compared to the same quarter last year. During the same period in the previous year, the company earned ($1.02) EPS. On average, sell-side analysts forecast that Vir Biotechnology, Inc. will post -3.92 EPS for the current year.

Vir Biotechnology Company Profile

Vir Biotechnology, Inc, an immunology company, develops therapeutic products to treat and prevent serious infectious diseases. Its clinical development pipeline consists of product candidates targeting hepatitis delta virus (HDV), hepatitis B virus (HBV), and human immunodeficiency virus (HIV). The company's preclinical candidates include those targeting influenza A and B, coronavirus disease 2019, respiratory syncytial virus (RSV) and human metapneumovirus (MPV), and human papillomavirus (HPV).

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