Schrodinger Inc. (NASDAQ: SDGR) stock jumped 2.33% on Wednesday to $18.46 against a previous-day closing price of $18.04. With 0.28 million shares changed hands, the volume of the stock remained lighter than its average volume of 0.51 million shares. During the session, the Health Information Services company that operates in wider Healthcare sector, reached to the highest price of $18.67 whereas the lowest price it dropped to was $18.11. The 52-week range on SDGR shows that it touched its highest point at $41.89 and its lowest point at $17.73 during that stretch. It currently has a 1-year price target of $61.00.
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 SDGR was down-trending over the past week, with a drop of -12.30%, but this was down by -18.61% over a month. Three-month performance dropped to -36.08% while six-month performance fell -25.74%. The stock lost -51.75% in the past year, while it has lost -47.00% so far this year. A look at the trailing 12-month EPS for SDGR yields -2.15 with Next year EPS estimates of -1.59. For the next quarter, that number is -0.51. This implies an EPS growth rate of -248.90% for this year and 28.40% for next year.
Float and Shares Shorts:
At present, 71.21 million SDGR shares are outstanding with a float of 58.09 million shares on hand for trading. On Oct 13, 2022, short shares totaled 4.4 million, which was 6.19% higher than short shares on Sep 14, 2022. In addition to Dr. Ramy Farid Ph.D. as the firm’s CEO, Pres & Director, Dr. Richard A. Friesner Ph.D. serves as its Co-Founder, Scientific Advisory Chairman and Director.
Through their ownership of 83.38% of SDGR’s outstanding shares, institutional investors have majority control over the company. Other institutions hold 39.83% of SDGR, in contrast to 38.41% held by mutual funds. Shares owned by individuals account for 24.12%. As the largest shareholder in SDGR with 11.26% of the stake, Bill & Melinda Gates Foundation T holds 6,981,664 shares worth 6,981,664. A second-largest stockholder of SDGR, The Vanguard Group, Inc., holds 4,910,642 shares, controlling over 7.92% of the firm’s shares. ARK Investment Management LLC is the third largest shareholder in SDGR, holding 3,764,707 shares or 6.07% stake. With a 5.94% stake in SDGR, the ARK Genomic Revolution ETF is the largest stakeholder. A total of 3,681,365 shares are owned by the mutual fund manager. The CS Invt. Fds. 2 -, which owns about 3.47% of SDGR stock, is the second-largest Mutual Fund holder. It holds 2,150,000 shares valued at 51.54 million. Vanguard Total Stock Market Index holds 2.57% of the stake in SDGR, owning 1,592,005 shares worth 38.16 million.
Reading analyst opinions is an effective way to decide where to invest, and there are several opinions available for SDGR since 8 analysts follow the stock currently. There are 6 analysts who recommend BUY ratings, while 0 suggest SELL ratings. Of the remaining analysts, 2 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 SDGR analysts setting a high price target of $86.00 and a low target of $37.00, the average target price over the next 12 months is $61.00. Based on these targets, SDGR could surge 365.87% to reach the target high and rise by 100.43% to reach the target low. Reaching the average price target will result in a growth of 230.44% 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. SDGR will report FY 2022 earnings on 03/02/2023. Analysts have provided yearly estimates in a range of -$1.52 being high and -$2.36 being low. For SDGR, this leads to a yearly average estimate of -$2.15. The earnings surprise of a firm occurs when the actual results change from the consensus earnings estimate. Schrodinger Inc. surprised analysts by $0.07 when it reported -$0.56 EPS against a consensus estimate of -$0.63. The surprise factor in the prior quarter was -$0.13. Based on analyst estimates, the high estimate for the next quarter is -$0.30 and the low estimate is -$0.65. The average estimate for the next quarter is thus -$0.52.
Summary of Insider Activity:
Insiders traded SDGR stock several times over the past three months with 0 Buys and 0 Sells. In these transactions, 0 shares were bought while 0 shares were sold. The number of buy transactions has increased to 2 while that of sell transactions has risen to 3 over the past year. The total number of shares bought during that period was 20,551 while 20,551 shares were sold.