Aclaris, CRISPR, Outlook Therapeutics Poised for a Price Surge


Trading volume spikes in beaten-down stocks often signal a bottom for prices investors can bank on. The problem is that beaten-down stocks are usually in that position for a good reason, so it helps if there is a catalyst for higher share prices in addition to the trading volume. The three biopharmaceutical stocks on this list have catalysts for higher share prices ranging from insider buying to product launches, their growth outlook, and analysts’ sentiment. The question is whether they are worth buying today or if lower prices will come before the big rebound. 

Aclaris Therapeutics Insider Buying Spikes 

Aclaris Therapeutics, Inc. stock logo
ACRSACRS 90-day performance

Aclaris Therapeutics

$1.27

+0.01 (+0.79%)

(As of 07/10/2024 ET)

52-Week Range
$0.59

$11.12

Price Target
$22.25

Aclaris Therapeutics NASDAQ: ACRS is a clinical-stage biopharmaceutical (biopharma) company working on novel therapies for immune-inflammatory diseases. It has several candidates in trials but is far from approval. The catalyst for this stock is insider buying, even though it is suspect. The insider in question is Braden Michael Leonard, a major shareholder and independent investor. He made numerous purchases in Q2, and the trend continued in Q3. His holdings top 13.4 million shares, or about 18% of the float, and may increase as the summer progresses. 

The Q1 earnings report had some good news. The company is progressing its work and advancing at least one candidate into the Phase 2-A trials to test for effectiveness. Unlike some clinical-stage pharma companies, this one has a side business that helps sustain its operations. The company operates a contract research facility that brings in about $2.5 million per quarter.

Analysts are optimistic about the business and outlook and rate it a Hold. The lowest price target tracked by MarketBeat is more than 600% upside for the stock. The risk is that no revisions have been issued for several quarters, and a price gap is impairing the technical outlook. The market may increase to $6, but that level is at the top of the price gap and is a likely price point for significant market resistance. 

Aclaris ACRS stock chart

CRISPR Therapeutics Has a More Substantial Catalyst for Share Prices

CRISPR Therapeutics AG stock logo
CRSPCRSP 90-day performance

CRISPR Therapeutics

$55.56

+0.53 (+0.96%)

(As of 07/10/2024 ET)

52-Week Range
$37.55

$91.10

Price Target
$75.71

CRISPR Therapeutics NASDAQ: CRSP is focused on gene-editing treatments for major diseases. Its catalyst is the launch of Casgevy, the first FDA-approved treatment for sickle cell disease. The last report included an update on the launch, which is live at 25 centers globally. The first patients have been enrolled, and their treatments are being prepared. The launch will result in top-line growth this year and acceleration in F2025. Analysts expect revenue to grow more than 400% this year to next and may underestimate the potential. 

Analysts are less bullish on this stock, but the rating has more conviction. MarketBeat tracks 18 CRSP analysts and nearly two dozen revisions this year. They’ve lowered their sentiment rating from Moderate Buy to Hold, but the price target is rising. The $75 consensus target assumes about 35% upside for the stock, and the revisions are leading to the range’s high end or another 50% or more upside. 

CRISPR CRSP stock chart

Outlook Therapeutic Launches Product in the EU and UK

Outlook Therapeutics, Inc. stock logo
OTLKOTLK 90-day performance

Outlook Therapeutics

$7.61

-0.29 (-3.67%)

(As of 07/10/2024 ET)

52-Week Range
$4.00

$37.00

Price Target
$46.43

Outlook Therapeutics NASDAQ: OTLK received approval for its first-ever product, expected to launch in Q1 2025. The takeaway is that revenue will go from $0 to $10 million quickly, and the estimates may be cautious. The treatment is for wet AMD, which has a drug-market value of nearly $9 billion.

Analysts are very bullish on this stock, and their sentiment is a reasonable level of conviction. MarketBeat.com tracks eight analysts covering this stock, with six revisions issued this year. They rate the stock as a Buy and see it advancing over 450% at the consensus. The consensus is down from last year, but even the low target is 160% upside. 

The risk is that Outlook Therapeutics investors face dilution. The share count increased more than 10% on average over the past year, and more sales are expected. Although the company’s balance sheet is capitalized, losses were significant in FQ2. Accounting for warrant-related expenses, the cash burn is sufficient to wipe out reserves quickly, even with the expected revenue gain in 2025. Because warrants are still in play and adequate shares are available to sell, additional dilution is expected. 

Outlook Therapeutics OTLK stock chart

Before you consider Outlook Therapeutics, you’ll want to hear this.

MarketBeat keeps track of Wall Street’s top-rated and best performing research analysts and the stocks they recommend to their clients on a daily basis. MarketBeat has identified the five stocks that top analysts are quietly whispering to their clients to buy now before the broader market catches on… and Outlook Therapeutics wasn’t on the list.

While Outlook Therapeutics currently has a “Moderate Buy” rating among analysts, top-rated analysts believe these five stocks are better buys.

View The Five Stocks Here

12 Stocks Corporate Insiders are Abandoning Cover

If a company’s CEO, COO, and CFO were all selling shares of their stock, would you want to know?

Get This Free Report

Like this article? Share it with a colleague.

Link copied to clipboard.





Source link

Content Disclaimer and Copyright Notice
Content Disclaimer

The content provided on this website is sourced from various RSS feeds and other publicly available sources. We strive to ensure the accuracy and reliability of the information, and we always provide source links to the original content. However, we are not responsible for the content’s accuracy or any changes made to the original sources after the information is aggregated on our site.

Fair Use and Copyright Notice

This website may contain copyrighted material, the use of which has not always been specifically authorized by the copyright owner. We believe this constitutes a “fair use” of any such copyrighted material as provided for in section 107 of the US Copyright Law.

In accordance with Title 17 U.S.C. Section 107, the material on this site is distributed without profit to those who have expressed a prior interest in receiving the included information for research and educational purposes. If you wish to use copyrighted material from this site for purposes of your own that go beyond fair use, you must obtain permission from the copyright owner.

Leave a Reply

Your email address will not be published. Required fields are marked *