Vir Biotechnology (NASDAQ:VIR) Shares Gap Up on 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)'s stock price 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, up from their previous price target of $12.00. Vir Biotechnology shares last traded at $5.03, with a volume of 3,220,256 shares changing hands.

VIR has been the subject of a number of other research reports. Needham & Company LLC reiterated a "buy" rating and set a $14.00 price objective on shares of Vir Biotechnology in a research report on Thursday, May 22nd. Raymond James Financial assumed coverage on Vir Biotechnology in a research report on Friday, July 11th. They set an "outperform" rating for the company. Eight equities research analysts have rated the stock with a Buy rating and one has given a Hold rating to the stock. Based on data from MarketBeat, Vir Biotechnology has a consensus rating of "Moderate Buy" and a consensus price target of $28.44.

Insiders Place Their Bets

In other news, EVP Mark Eisner sold 6,796 shares of the stock in a transaction on Tuesday, July 15th. The stock was sold at an average price of $5.47, for a total value of $37,174.12. Following the completion of the sale, the executive vice president owned 108,204 shares in the company, valued at $591,875.88. This represents a 5.91% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. Also, Director Vicki L. Sato sold 22,000 shares of the stock in a transaction on Friday, August 1st. The shares were sold at an average price of $4.99, for a total value of $109,780.00. Following the completion of the sale, the director owned 1,276,391 shares of the company's stock, valued at $6,369,191.09. The trade was a 1.69% decrease in their position. The disclosure for this sale can be found here. Insiders sold 54,382 shares of company stock valued at $278,770 in the last 90 days. Corporate insiders own 16.00% of the company's stock.

Institutional Trading of Vir Biotechnology

Hedge funds and other institutional investors have recently modified their holdings of the company. Point72 Asia Singapore Pte. Ltd. purchased a new stake in shares of Vir Biotechnology during the fourth quarter worth $42,000. Raymond James Financial Inc. purchased a new stake in shares of Vir Biotechnology during the second quarter worth $35,000. GAMMA Investing LLC raised its holdings in shares of Vir Biotechnology by 524.3% during the first quarter. GAMMA Investing LLC now owns 7,111 shares of the company's stock worth $46,000 after acquiring an additional 5,972 shares in the last quarter. Apollon Wealth Management LLC purchased a new stake in shares of Vir Biotechnology during the second quarter worth $50,000. Finally, PNC Financial Services Group Inc. raised its holdings in shares of 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 in the last quarter. 65.32% of the stock is currently owned by hedge funds and other institutional investors.

Vir Biotechnology Price Performance

The company has a fifty day moving average of $5.09 and a 200-day moving average of $5.85. The firm has a market capitalization of $686.25 million, a PE ratio of -1.24 and a beta of 1.28.

Vir Biotechnology (NASDAQ:VIR - Get Free Report) last announced its quarterly earnings data on Wednesday, August 6th. The company reported ($0.80) earnings per share (EPS) for the quarter, missing the consensus estimate of ($0.72) by ($0.08). Vir Biotechnology had a negative return on equity of 50.22% and a negative net margin of 2,895.94%.The firm had revenue of $1.21 million for the quarter, compared to analysts' expectations of $2.38 million. During the same quarter in the prior year, the business posted ($1.02) earnings per share. Vir Biotechnology's revenue was down 60.5% on a year-over-year basis. Equities analysts anticipate 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).