Lexicon Pharmaceuticals Inc. (NASDAQ: LXRX) stock jumped 4.48% on Friday to $1.40 against a previous-day closing price of $1.34. With 3.75 million shares changed hands, the volume of the stock remained heavier than its average volume of 1.77 million shares. During the session, the Biotechnology company that operates in wider Healthcare sector, reached to the highest price of $1.5300 whereas the lowest price it dropped to was $1.3700. The 52-week range on LXRX shows that it touched its highest point at $3.79 and its lowest point at $1.27 during that stretch. It currently has a 1-year price target of $5.77. Beta for the stock currently stands at 1.18.
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 LXRX was down-trending over the past week, with a drop of -11.95%, but this was down by -13.04% over a month. Three-month performance dropped to -45.53% while six-month performance fell -40.43%. The stock lost -49.09% in the past year, while it has lost -26.70% so far this year. A look at the trailing 12-month EPS for LXRX yields -0.68 with Next year EPS estimates of -0.75. For the next quarter, that number is -0.21. This implies an EPS growth rate of -2.10% for this year and 7.40% for next year.
Float and Shares Shorts:
At present, 244.92 million LXRX shares are outstanding with a float of 242.47 million shares on hand for trading. On Aug 30, 2023, short shares totaled 17.81 million, which was 7.27% higher than short shares on Jul 30, 2023. In addition to Mr. Lonnel Coats as the firm’s CEO & Director, Mr. Jeffrey L. Wade J.D. serves as its Pres & CFO.
Through their ownership of 73.69% of LXRX’s outstanding shares, institutional investors have majority control over the company. Other institutions hold 67.26% of LXRX, in contrast to 50.90% held by mutual funds. Shares owned by individuals account for 10.09%. As the largest shareholder in LXRX with 48.00% of the stake, Invus Public Equities Advisors LL holds 117,553,284 shares worth 117,553,284. A second-largest stockholder of LXRX, BVF Partners LP, holds 19,995,332 shares, controlling over 8.16% of the firm’s shares. Fidelity Management & Research Co is the third largest shareholder in LXRX, holding 8,511,068 shares or 3.48% stake. With a 1.51% stake in LXRX, the Vanguard Total Stock Market ETF is the largest stakeholder. A total of 3,702,774 shares are owned by the mutual fund manager. The Fidelity Growth Company Fund, which owns about 1.03% of LXRX stock, is the second-largest Mutual Fund holder. It holds 2,534,107 shares valued at 4.36 million. iShares Russell 2000 ETF holds 0.86% of the stake in LXRX, owning 2,108,163 shares worth 3.63 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 Jun 29, 2023, LXRX reported revenue of $35.00k and operating income of -$24.01M. The EBITDA in the recently reported quarter was -$23.88M and diluted EPS was -$0.16.
Reading analyst opinions is an effective way to decide where to invest, and there are several opinions available for LXRX since 0 analysts follow the stock currently. In the same way, a target price assigned to a stock can also reveal much about its potential. With LXRX analysts setting a high price target of $10.00 and a low target of $1.65, the average target price over the next 12 months is $5.55. Based on these targets, LXRX could surge 614.29% to reach the target high and rise by 17.86% to reach the target low. Reaching the average price target will result in a growth of 296.43% 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.
Summary of Insider Activity:
Insiders traded LXRX stock several times over the past three months with 8 Buys and 0 Sells. In these transactions, 98,000 shares were bought while 0 shares were sold. The number of buy transactions has increased to 40 while that of sell transactions has risen to 9 over the past year. The total number of shares bought during that period was 28,511,074 while 178,167 shares were sold.