XOMA Royalty (NASDAQ:XOMA) Stock Rating Lowered by Wall Street Zen

Key Points

• XOMA Royalty was downgraded from a "buy" to a "hold" rating by Wall Street Zen and retains a market cap of approximately $296.50 million.
• Despite the downgrade, HC Wainwright maintains a "buy" rating with a price target of $104.00, while Benchmark initiated coverage with a price target of $35.00.
• Recent insider trading showed a significant reduction in ownership, with CEO Owen Hughes selling over 25,000 shares and a major shareholder reducing their stake by 392,723 shares.

XOMA Royalty (NASDAQ:XOMA - Get Free Report) was downgraded by Wall Street Zen from a "buy" rating to a "hold" rating in a note issued to investors on Sunday.

Other equities analysts also recently issued research reports about the company. HC Wainwright reiterated a "buy" rating and set a $104.00 price objective on shares of XOMA Royalty in a research report on Wednesday, May 28th. Benchmark started coverage on XOMA Royalty in a research report on Thursday, April 17th. They set a "buy" rating and a $35.00 price objective on the stock.

XOMA Royalty Stock Down 0.4%

XOMA stock opened at $24.77 on Friday. The company has a market cap of $296.50 million, a price-to-earnings ratio of -21.54 and a beta of 1.00. The company has a current ratio of 5.54, a quick ratio of 5.54 and a debt-to-equity ratio of 1.18. XOMA Royalty has a 12 month low of $18.35 and a 12 month high of $35.00. The firm has a 50-day moving average of $25.71 and a two-hundred day moving average of $24.21.

XOMA Royalty (NASDAQ:XOMA - Get Free Report) last announced its quarterly earnings data on Tuesday, May 13th. The biotechnology company reported $0.06 EPS for the quarter, topping analysts' consensus estimates of ($0.26) by $0.32. XOMA Royalty had a negative return on equity of 12.43% and a negative net margin of 13.04%. The firm had revenue of $15.91 million for the quarter, compared to the consensus estimate of $6.75 million. As a group, analysts forecast that XOMA Royalty will post -1.41 earnings per share for the current fiscal year.

Insiders Place Their Bets

In other XOMA Royalty news, CEO Owen Hughes sold 25,637 shares of XOMA Royalty stock in a transaction on Tuesday, May 20th. The stock was sold at an average price of $25.38, for a total value of $650,667.06. Following the sale, the chief executive officer owned 62,701 shares in the company, valued at $1,591,351.38. The trade was a 29.02% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. Also, major shareholder Bvf Partners L. P/Il sold 392,723 shares of XOMA Royalty stock in a transaction on Friday, May 16th. The shares were sold at an average price of $27.10, for a total value of $10,642,793.30. Following the completion of the sale, the insider owned 1,267,545 shares in the company, valued at $34,350,469.50. This represents a 23.65% decrease in their position. The disclosure for this sale can be found here. 9.10% of the stock is owned by insiders.

Institutional Investors Weigh In On XOMA Royalty

Institutional investors and hedge funds have recently added to or reduced their stakes in the business. Woodline Partners LP raised its holdings in shares of XOMA Royalty by 7.9% in the 1st quarter. Woodline Partners LP now owns 168,550 shares of the biotechnology company's stock valued at $3,359,000 after buying an additional 12,284 shares during the period. Stonepine Capital Management LLC raised its holdings in shares of XOMA Royalty by 3.3% in the 1st quarter. Stonepine Capital Management LLC now owns 129,813 shares of the biotechnology company's stock valued at $2,587,000 after buying an additional 4,113 shares during the period. Nuveen LLC purchased a new stake in shares of XOMA Royalty in the 1st quarter valued at $286,000. Deutsche Bank AG raised its holdings in shares of XOMA Royalty by 5,087.9% in the 1st quarter. Deutsche Bank AG now owns 6,433 shares of the biotechnology company's stock valued at $128,000 after buying an additional 6,309 shares during the period. Finally, CM Management LLC raised its holdings in shares of XOMA Royalty by 16.4% in the 1st quarter. CM Management LLC now owns 64,000 shares of the biotechnology company's stock valued at $1,276,000 after buying an additional 9,000 shares during the period. Hedge funds and other institutional investors own 95.92% of the company's stock.

XOMA Royalty Company Profile

XOMA Corporation operates as a biotech royalty aggregator in the United States and the Asia Pacific. It has a portfolio of economic rights to future potential milestone and royalty payments associated with partnered commercial and pre-commercial therapeutic candidates. The company also focuses on early to mid-stage clinical assets primarily in Phase 1 and 2 with commercial sales potential that are licensed to partners; and acquires milestone and royalty revenue streams on late-stage clinical or commercial assets.

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