Wedbush Begins Coverage on Sagimet Biosciences (NASDAQ:SGMT)

Key Points

• Wedbush has initiated coverage on Sagimet Biosciences (NASDAQ:SGMT) with an "outperform" rating and a price target of $28.00, indicating a potential upside of 220.73% from its previous close.
• Sagimet Biosciences has received several other positive ratings from analysts, with a consensus target price of $26.57 after seven analysts rated the stock as a buy.
• The company is developing therapeutics targeting metabolic diseases, with its lead candidate being Denifanstat, a selective FASN inhibitor.

Equities researchers at Wedbush started coverage on shares of Sagimet Biosciences (NASDAQ:SGMT - Get Free Report) in a research note issued to investors on Monday, MarketBeat.com reports. The firm set an "outperform" rating and a $28.00 price target on the stock. Wedbush's target price would indicate a potential upside of 220.73% from the stock's previous close.

Several other research analysts have also issued reports on SGMT. Jones Trading upped their target price on shares of Sagimet Biosciences from $15.00 to $27.00 and gave the stock a "buy" rating in a research report on Friday, June 6th. HC Wainwright assumed coverage on shares of Sagimet Biosciences in a research report on Thursday. They issued a "buy" rating and a $29.00 target price for the company. Finally, Canaccord Genuity Group assumed coverage on shares of Sagimet Biosciences in a research report on Thursday, July 24th. They issued a "buy" rating and a $28.00 target price for the company. Seven investment analysts have rated the stock with a buy rating, According to MarketBeat.com, the stock presently has an average rating of "Buy" and a consensus target price of $26.57.

Sagimet Biosciences Price Performance

SGMT opened at $8.73 on Monday. The company has a fifty day moving average price of $8.18 and a 200-day moving average price of $5.12. The firm has a market capitalization of $267.75 million, a P/E ratio of -4.96 and a beta of 3.37. Sagimet Biosciences has a one year low of $1.73 and a one year high of $11.41.

Sagimet Biosciences (NASDAQ:SGMT - Get Free Report) last announced its earnings results on Thursday, May 8th. The company reported ($0.56) earnings per share (EPS) for the quarter, topping the consensus estimate of ($0.79) by $0.23. On average, analysts expect that Sagimet Biosciences will post -1.6 earnings per share for the current year.

Insider Buying and Selling at Sagimet Biosciences

In other Sagimet Biosciences news, insider Eduardo Bruno Martins sold 8,277 shares of the company's stock in a transaction dated Monday, July 21st. The shares were sold at an average price of $9.13, for a total transaction of $75,569.01. Following the completion of the sale, the insider directly owned 106,936 shares in the company, valued at $976,325.68. This represents a 7.18% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available at this hyperlink. Also, CEO David Happel sold 65,478 shares of the company's stock in a transaction dated Monday, July 21st. The shares were sold at an average price of $9.13, for a total transaction of $597,814.14. Following the sale, the chief executive officer owned 689,722 shares of the company's stock, valued at approximately $6,297,161.86. The trade was a 8.67% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold a total of 84,535 shares of company stock worth $771,805 over the last three months. Company insiders own 14.70% of the company's stock.

Hedge Funds Weigh In On Sagimet Biosciences

Several hedge funds and other institutional investors have recently modified their holdings of the company. Bailard Inc. bought a new position in shares of Sagimet Biosciences during the second quarter valued at about $221,000. Geode Capital Management LLC increased its stake in shares of Sagimet Biosciences by 0.6% during the second quarter. Geode Capital Management LLC now owns 265,324 shares of the company's stock valued at $2,023,000 after purchasing an additional 1,600 shares in the last quarter. ANTIPODES PARTNERS Ltd bought a new position in shares of Sagimet Biosciences during the second quarter valued at approximately $41,000. Abacus Planning Group Inc. increased its stake in shares of Sagimet Biosciences by 14.6% during the second quarter. Abacus Planning Group Inc. now owns 29,968 shares of the company's stock valued at $228,000 after purchasing an additional 3,819 shares in the last quarter. Finally, ORG Wealth Partners LLC purchased a new stake in shares of Sagimet Biosciences during the second quarter valued at approximately $143,000. 87.86% of the stock is owned by institutional investors.

About Sagimet Biosciences

Sagimet Biosciences Inc, a clinical-stage biopharmaceutical company, develops therapeutics called fatty acid synthase (FASN) inhibitors for the treatment of diseases that result from dysfunctional metabolic pathways in the United States. The company's lead drug candidate is Denifanstat, a once-daily pill and selective FASN inhibitor for the treatment of metabolic dysfunction associated steatohepatitis.

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