WAVE Life Sciences (NASDAQ:WVE) Shares Gap Down - Should You Sell?

Key Points

• WAVE Life Sciences' shares gapped down significantly from a previous close of $9.62 to an opening price of $7.39, indicating a marked decline in market value.
• Several analysts have set varying price targets for WAVE Life Sciences, with a consensus target price of $20.27 despite a current trading price around $7.65.
• The company reported a quarterly earnings miss, posting a loss of ($0.31) per share compared to the estimated loss of ($0.29) and lower revenue of $8.70 million against expectations of $11.52 million.

WAVE Life Sciences Ltd. (NASDAQ:WVE - Get Free Report)'s share price gapped down before the market opened on Wednesday . The stock had previously closed at $9.62, but opened at $7.39. WAVE Life Sciences shares last traded at $7.65, with a volume of 2,006,562 shares.

Analysts Set New Price Targets

Several equities research analysts recently issued reports on WVE shares. Citigroup started coverage on shares of WAVE Life Sciences in a research report on Wednesday, July 16th. They issued a "buy" rating and a $16.00 target price on the stock. Wedbush reaffirmed an "outperform" rating and set a $18.00 price target on shares of WAVE Life Sciences in a research report on Monday, June 23rd. Wells Fargo & Company reduced their price target on shares of WAVE Life Sciences from $24.00 to $21.00 and set an "overweight" rating on the stock in a research report on Thursday, July 31st. Raymond James Financial assumed coverage on shares of WAVE Life Sciences in a research report on Wednesday, June 11th. They set an "outperform" rating and a $14.00 price target on the stock. Finally, Oppenheimer began coverage on shares of WAVE Life Sciences in a research report on Monday, July 28th. They set an "outperform" rating and a $24.00 price target on the stock. Fourteen investment analysts have rated the stock with a Buy rating and one has given a Hold rating to the stock. According to MarketBeat.com, the stock currently has a consensus rating of "Moderate Buy" and a consensus target price of $20.27.

WAVE Life Sciences Price Performance

The company has a market cap of $1.24 billion, a price-to-earnings ratio of -8.64 and a beta of -1.15. The firm's fifty day moving average price is $8.35 and its 200-day moving average price is $7.95.

WAVE Life Sciences (NASDAQ:WVE - Get Free Report) last posted its quarterly earnings data on Wednesday, July 30th. The company reported ($0.31) earnings per share for the quarter, missing the consensus estimate of ($0.29) by ($0.02). The company had revenue of $8.70 million for the quarter, compared to analyst estimates of $11.52 million. As a group, equities analysts forecast that WAVE Life Sciences Ltd. will post -1.14 earnings per share for the current fiscal year.

Insider Buying and Selling

In related news, Director Christian O. Henry sold 9,670 shares of the business's stock in a transaction that occurred on Wednesday, August 13th. The stock was sold at an average price of $8.81, for a total value of $85,192.70. Following the completion of the sale, the director owned 29,645 shares of the company's stock, valued at approximately $261,172.45. The trade was a 24.60% decrease in their position. The sale was disclosed in a filing with the SEC, which can be accessed through this link. Also, Director Ken Takanashi sold 4,872 shares of the company's stock in a transaction that occurred on Tuesday, August 5th. The stock was sold at an average price of $8.75, for a total value of $42,630.00. Following the sale, the director directly owned 5,716,303 shares of the company's stock, valued at $50,017,651.25. The trade was a 0.09% decrease in their position. The disclosure for this sale can be found here. Insiders have sold a total of 271,893 shares of company stock worth $2,631,568 in the last quarter. 23.98% of the stock is currently owned by corporate insiders.

Institutional Investors Weigh In On WAVE Life Sciences

Several hedge funds have recently modified their holdings of WVE. Envestnet Asset Management Inc. boosted its position in shares of WAVE Life Sciences by 64.9% in the fourth quarter. Envestnet Asset Management Inc. now owns 32,331 shares of the company's stock valued at $400,000 after acquiring an additional 12,724 shares during the period. Raymond James Financial Inc. bought a new stake in shares of WAVE Life Sciences in the fourth quarter valued at approximately $157,000. Voya Investment Management LLC boosted its position in shares of WAVE Life Sciences by 198.2% in the fourth quarter. Voya Investment Management LLC now owns 77,160 shares of the company's stock valued at $954,000 after acquiring an additional 51,281 shares during the period. The Manufacturers Life Insurance Company boosted its position in shares of WAVE Life Sciences by 23.5% in the fourth quarter. The Manufacturers Life Insurance Company now owns 207,687 shares of the company's stock valued at $2,569,000 after acquiring an additional 39,546 shares during the period. Finally, Northern Trust Corp boosted its position in shares of WAVE Life Sciences by 20.3% in the fourth quarter. Northern Trust Corp now owns 961,751 shares of the company's stock valued at $11,897,000 after acquiring an additional 162,386 shares during the period. 89.73% of the stock is owned by institutional investors.

About WAVE Life Sciences

Wave Life Sciences Ltd., a clinical-stage biotechnology company, designs, develops, and commercializes ribonucleic acid (RNA) medicines through PRISM, a discovery and drug development platform. The company's RNA medicines platform, PRISM, combines multiple modalities, chemistry innovation, and deep insights into human genetics to deliver scientific breakthroughs that treat both rare and prevalent disorders.

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