Zacks Research Downgrades Spero Therapeutics (NASDAQ:SPRO) to Hold

Key Points

• Zacks Research has downgraded Spero Therapeutics from a "strong-buy" to a "hold" rating, reflecting changing investor sentiment.
• Spero Therapeutics reported a quarterly revenue of $14.19 million, exceeding expectations of $11 million, with a notable improvement in earnings per share.
• The stock has seen an uptick of 3.1% recently, with average target estimates sitting at $5.00 per share.

Spero Therapeutics (NASDAQ:SPRO - Get Free Report) was downgraded by analysts at Zacks Research from a "strong-buy" rating to a "hold" rating in a report issued on Monday,Zacks.com reports.

A number of other analysts also recently weighed in on SPRO. Wall Street Zen upgraded Spero Therapeutics to a "hold" rating in a research report on Saturday, June 21st. Weiss Ratings reaffirmed a "sell (d-)" rating on shares of Spero Therapeutics in a research note on Wednesday, October 8th. Two analysts have rated the stock with a Buy rating, three have issued a Hold rating and one has issued a Sell rating to the company's stock. Based on data from MarketBeat, the company presently has an average rating of "Hold" and an average target price of $5.00.

Spero Therapeutics Stock Up 3.1%

Shares of NASDAQ SPRO opened at $2.36 on Monday. Spero Therapeutics has a 52 week low of $0.51 and a 52 week high of $3.22. The business has a 50-day simple moving average of $2.03 and a two-hundred day simple moving average of $1.83. The company has a market cap of $132.82 million, a P/E ratio of -2.41 and a beta of 1.47.

Spero Therapeutics (NASDAQ:SPRO - Get Free Report) last released its quarterly earnings results on Tuesday, August 12th. The company reported ($0.03) earnings per share for the quarter, beating the consensus estimate of ($0.38) by $0.35. Spero Therapeutics had a negative return on equity of 120.27% and a negative net margin of 110.35%.The firm had revenue of $14.19 million for the quarter, compared to analysts' expectations of $11.00 million. Equities research analysts anticipate that Spero Therapeutics will post -1.2 EPS for the current year.

Institutional Investors Weigh In On Spero Therapeutics

Several hedge funds have recently added to or reduced their stakes in SPRO. Invesco Ltd. bought a new position in shares of Spero Therapeutics during the second quarter valued at $43,000. Mackenzie Financial Corp increased its position in Spero Therapeutics by 11.4% during the first quarter. Mackenzie Financial Corp now owns 209,031 shares of the company's stock valued at $151,000 after acquiring an additional 21,472 shares during the last quarter. Quadrature Capital Ltd purchased a new stake in Spero Therapeutics during the second quarter valued at $90,000. Axxcess Wealth Management LLC purchased a new stake in Spero Therapeutics during the second quarter valued at $94,000. Finally, Capital Asset Advisory Services LLC purchased a new stake in Spero Therapeutics during the second quarter valued at $94,000. 25.60% of the stock is owned by institutional investors.

About Spero Therapeutics

Spero Therapeutics, Inc, a clinical-stage biopharmaceutical company, focuses on identifying, developing, and commercializing novel treatments for multi-drug resistant (MDR) bacterial infections and rare diseases in the United States. The company's product candidates include tebipenem pivoxil hydrobromide (HBr), an oral carbapenem-class antibiotic to treat complicated urinary tract infections, including pyelonephritis for adults; SPR206, an intravenous-administered antibiotic against MDR Gram-negative pathogens comprising carbapenem-resistant enterobacterales (CRE), acinetobacter baumannii, and pseudomonas aeruginosa, as well as negative bacterial infections in the hospital setting; and SPR720, a novel oral antibiotic agent for the treatment of non-tuberculous mycobacterial pulmonary disease.

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