Catalyst Pharmaceuticals Inc. (NASDAQ: CPRX) stock jumped 23.87% on Friday to $13.13 against a previous-day closing price of $10.60. With 4.08 million shares changed hands, the volume of the stock remained heavier than its average volume of 1.55 million shares. During the session, the Biotechnology company that operates in wider Healthcare sector, reached to the highest price of $13.24 whereas the lowest price it dropped to was $11.61. The 52-week range on CPRX shows that it touched its highest point at $11.32 and its lowest point at $4.81 during that stretch. It currently has a 1-year price target of $11.60. Beta for the stock currently stands at 1.43.
Do You Know The Best Place To Find Gains In Volatile Markets?
In today's chaotic marketplace, the biggest gains will come from some currently-small companies that pass by older, larger businesses still stuck in a pre-pandemic world. The trick is figuring out which small caps will be tomorrow's winners. That's why StockWire News has put together a special Wealth Building Report, highlighting 3 small cap stocks set to soar in 2023.
Click here for full details and to join for free.
Price Performance and Earnings:
Stock performance is one of the indicators that investors use to determine whether they will profit from a stock. The price performance of CPRX was up-trending over the past week, with a rise of 25.05%, but this was up by 69.64% over a month. Three-month performance surged to 89.47% while six-month performance rose 87.84%. The stock gained 121.04% in the past year, while it has gained 93.94% so far this year. A look at the trailing 12-month EPS for CPRX yields 0.42 with Next year EPS estimates of 0.79. For the next quarter, that number is 0.17. This implies an EPS growth rate of -48.10% for this year and 18.51% for next year.
Float and Shares Shorts:
At present, 102.78 million CPRX shares are outstanding with a float of 95.03 million shares on hand for trading. On Jul 14, 2022, short shares totaled 8.84 million, which was 8.60% higher than short shares on Jun 14, 2022. In addition to Mr. Patrick J. McEnany as the firm’s Co-Founder, Chairman, Pres & CEO, Ms. Alicia Grande C.M.A., CPA, CMA, CPA serves as its Chief Accounting Officer, VP, Treasurer & CFO.
Through their ownership of 71.38% of CPRX’s outstanding shares, institutional investors have majority control over the company. Other institutions hold 37.85% of CPRX, in contrast to 32.11% held by mutual funds. Shares owned by individuals account for 15.92%. As the largest shareholder in CPRX with 8.15% of the stake, Armistice Capital LLC holds 8,372,000 shares worth 8,372,000. A second-largest stockholder of CPRX, BlackRock Fund Advisors, holds 6,063,674 shares, controlling over 5.90% of the firm’s shares. SSgA Funds Management, Inc. is the third largest shareholder in CPRX, holding 4,617,955 shares or 4.49% stake. With a 3.41% stake in CPRX, the SPDR S&P Biotech ETF is the largest stakeholder. A total of 3,508,137 shares are owned by the mutual fund manager. The Vanguard Total Stock Market Index, which owns about 2.64% of CPRX stock, is the second-largest Mutual Fund holder. It holds 2,710,113 shares valued at 19.0 million. iShares Russell 2000 ETF holds 2.17% of the stake in CPRX, owning 2,233,680 shares worth 15.66 million.
An Overview of Recent Financials:
Understanding a company as a customer does not mean you will understand it as an investor. The wise investor uses quantitative research to analyze metrics such as revenue, net income, and earnings. In its fiscal quarter reported on Mar 30, 2022, CPRX reported revenue of $43.09M and operating income of $17.37M. Over the past year, revenue came in at $153.72M while operating income stood at $59.95M. It generated $13.24M net income for the quarter, which came to $45.06M over the last twelve months. The EBITDA in the recently reported quarter was $17.40M and diluted EPS was $0.12. EBITDA for the full year was $60.08M.
Reading analyst opinions is an effective way to decide where to invest, and there are several opinions available for CPRX since 5 analysts follow the stock currently. There are 5 analysts who recommend BUY ratings, while 0 suggest SELL ratings. Of the remaining analysts, 0 believe that the stock is worth HOLDING, 0 give it an OVERWEIGHT rating, and 0 thinks that it’s UNDERWEIGHT. In the same way, a target price assigned to a stock can also reveal much about its potential. With CPRX analysts setting a high price target of $17.00 and a low target of $10.00, the average target price over the next 12 months is $14.00. Based on these targets, CPRX could surge 29.47% to reach the target high and fall by -23.84% to reach the target low. Reaching the average price target will result in a growth of 6.63% from current levels.
EPS: Estimates vs Actual
It is also common to use earnings estimates to evaluate a firm’s growth potential and to determine trading strategy. CPRX will report FY 2022 earnings on 03/15/2023. Analysts have provided yearly estimates in a range of $0.74 being high and $0.64 being low. For CPRX, this leads to a yearly average estimate of $0.68. The earnings surprise of a firm occurs when the actual results change from the consensus earnings estimate. Catalyst Pharmaceuticals Inc. surprised analysts by $0.03 when it reported $0.20 EPS against a consensus estimate of $0.17. The surprise factor in the prior quarter was -$0.02. Based on analyst estimates, the high estimate for the next quarter is $0.20 and the low estimate is $0.17. The average estimate for the next quarter is thus $0.19.
Summary of Insider Activity:
Insiders traded CPRX stock several times over the past three months with 4 Buys and 4 Sells. In these transactions, 180,000 shares were bought while 172,930 shares were sold. The number of buy transactions has increased to 27 while that of sell transactions has risen to 19 over the past year. The total number of shares bought during that period was 1,056,499 while 594,812 shares were sold.