Arcutis Biotherapeutics (NASDAQ:ARQT) Earns Buy Rating from Needham & Company LLC

Arcutis Biotherapeutics (NASDAQ:ARQT)‘s stock had its “buy” rating restated by investment analysts at Needham & Company LLC in a report released on Thursday,Benzinga reports. They currently have a $36.00 price target on the stock. Needham & Company LLC’s price target indicates a potential upside of 48.94% from the stock’s previous close.

Several other equities research analysts have also recently issued reports on ARQT. HC Wainwright raised their target price on shares of Arcutis Biotherapeutics from $30.00 to $34.00 and gave the stock a “buy” rating in a report on Thursday, February 26th. Guggenheim increased their price target on Arcutis Biotherapeutics from $34.00 to $35.00 and gave the company a “buy” rating in a report on Friday, February 27th. Mizuho dropped their price target on Arcutis Biotherapeutics from $37.00 to $35.00 and set an “outperform” rating on the stock in a research note on Monday, March 2nd. Wall Street Zen cut Arcutis Biotherapeutics from a “strong-buy” rating to a “buy” rating in a research report on Saturday, February 14th. Finally, Weiss Ratings reissued a “sell (d-)” rating on shares of Arcutis Biotherapeutics in a report on Friday, March 27th. Five research analysts have rated the stock with a Buy rating, two have given a Hold rating and one has given a Sell rating to the stock. According to data from MarketBeat.com, the company has an average rating of “Moderate Buy” and a consensus price target of $34.00.

Arcutis Biotherapeutics Price Performance

NASDAQ ARQT opened at $24.17 on Thursday. Arcutis Biotherapeutics has a one year low of $12.42 and a one year high of $31.77. The stock has a 50-day moving average of $23.78 and a 200 day moving average of $25.78. The company has a debt-to-equity ratio of 0.57, a quick ratio of 2.99 and a current ratio of 3.17. The company has a market capitalization of $3.02 billion, a price-to-earnings ratio of -172.63 and a beta of 1.58.

Arcutis Biotherapeutics (NASDAQ:ARQT) last posted its earnings results on Wednesday, May 6th. The company reported ($0.09) earnings per share (EPS) for the quarter, missing the consensus estimate of ($0.02) by ($0.07). Arcutis Biotherapeutics had a negative net margin of 4.29% and a negative return on equity of 10.26%. The company had revenue of $105.40 million for the quarter, compared to the consensus estimate of $103.68 million. On average, sell-side analysts forecast that Arcutis Biotherapeutics will post 0.18 EPS for the current year.

Insider Activity

In related news, insider Larry Todd Edwards sold 3,687 shares of the stock in a transaction dated Monday, March 2nd. The shares were sold at an average price of $25.18, for a total value of $92,838.66. Following the completion of the transaction, the insider owned 175,178 shares of the company’s stock, valued at approximately $4,410,982.04. This trade represents a 2.06% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, CFO Latha Vairavan sold 1,341 shares of Arcutis Biotherapeutics stock in a transaction dated Monday, May 4th. The stock was sold at an average price of $23.61, for a total value of $31,661.01. Following the completion of the transaction, the chief financial officer owned 86,413 shares of the company’s stock, valued at approximately $2,040,210.93. This represents a 1.53% decrease in their position. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. In the last three months, insiders sold 92,831 shares of company stock worth $2,295,499. 9.40% of the stock is owned by insiders.

Institutional Trading of Arcutis Biotherapeutics

A number of institutional investors have recently bought and sold shares of the stock. Johnson Investment Counsel Inc. bought a new stake in shares of Arcutis Biotherapeutics in the 3rd quarter worth about $30,000. SBI Securities Co. Ltd. lifted its position in shares of Arcutis Biotherapeutics by 325.4% during the fourth quarter. SBI Securities Co. Ltd. now owns 1,089 shares of the company’s stock worth $32,000 after purchasing an additional 833 shares during the last quarter. Global Retirement Partners LLC bought a new position in shares of Arcutis Biotherapeutics in the fourth quarter worth about $35,000. EverSource Wealth Advisors LLC grew its holdings in shares of Arcutis Biotherapeutics by 124.0% in the fourth quarter. EverSource Wealth Advisors LLC now owns 1,261 shares of the company’s stock worth $37,000 after purchasing an additional 698 shares during the last quarter. Finally, NewEdge Advisors LLC increased its stake in Arcutis Biotherapeutics by 209.0% in the 4th quarter. NewEdge Advisors LLC now owns 1,545 shares of the company’s stock worth $45,000 after buying an additional 1,045 shares during the period.

Key Stories Impacting Arcutis Biotherapeutics

Here are the key news stories impacting Arcutis Biotherapeutics this week:

• Positive Sentiment: Strong commercial performance and clinical progress: Q1 net product revenue for ZORYVE was $105.4M (up 65% YoY), the company reported positive operating cash flow, submitted an sNDA to expand ZORYVE to infants 3–24 months, completed enrollment in a pediatric MUSE trial, initiated Phase 1a/1b for ARQ‑234, and expanded the salesforce and primary care/pediatrics buildout. These developments support continued top-line growth and pipeline optionality. Read More.
• Positive Sentiment: Analyst stance remains constructive: Brokerages maintain a consensus “Moderate Buy” and a mid‑$30s consensus target, which can buoy investor sentiment as commercial momentum continues. Read More.
• Neutral Sentiment: Mixed Q1 financials: Revenue beat estimates ($105.4M vs. ~$103.7M) but GAAP EPS missed materially (loss of $0.09 vs. expected loss of $0.02). The top-line strength supports commercialization, but the EPS miss highlights continued margin/expense pressure as the company invests in growth. Read More.
• Negative Sentiment: Insider selling: Multiple insiders (including director and executives) sold shares in early May under pre‑arranged Rule 10b5‑1 plans to cover tax withholding on vested awards. While filings state routine/tax reasons, clustered sales can raise short‑term concerns about insider exposure and add selling pressure. Read More.

Arcutis Biotherapeutics Company Profile

Arcutis Biotherapeutics is a clinical-stage biopharmaceutical company focused on developing and commercializing innovative therapies for immuno-inflammatory skin diseases. The company’s research and development efforts center on targeted treatments that address the underlying biology of conditions such as plaque psoriasis, atopic dermatitis, seborrheic dermatitis and vitiligo. Arcutis employs a precision-medicine approach to deliver topical therapies designed to improve efficacy and tolerability compared with existing treatment options.

In August 2022, Arcutis received U.S.