Astrazeneca (NYSE:AZN) Shares Gap Down – Should You Sell?

Astrazeneca Plc (NYSE:AZN)’s stock price gapped down prior to trading on Thursday . The stock had previously closed at $189.28, but opened at $173.45. Astrazeneca shares last traded at $175.2950, with a volume of 1,288,131 shares traded.

More Astrazeneca News

Here are the key news stories impacting Astrazeneca this week:

• Negative Sentiment: A late-stage Phase III trial for AstraZeneca’s Wainua failed to meet its main goal of reducing cardiovascular deaths and recurring heart problems, a significant setback for the company’s pipeline. Reuters article
• Negative Sentiment: Investors reacted sharply to the trial miss, with reports of AstraZeneca shares falling nearly 10% and wiping about £19 billion from its market value. Invezz article
• Neutral Sentiment: AstraZeneca and Daiichi Sankyo are reportedly nearing a UK pricing deal for the breast cancer drug Enhertu, which could support a key oncology franchise if finalized. Reuters article
• Neutral Sentiment: AstraZeneca also announced a respiratory-drug licensing deal with Sino Biopharmaceutical, a longer-term strategic move that adds to its pipeline but is being outweighed today by the trial failure. Reuters article

Analyst Ratings Changes

A number of research firms have recently commented on AZN. JPMorgan Chase & Co. reaffirmed a “buy” rating on shares of Astrazeneca in a research note on Tuesday, June 30th. The Goldman Sachs Group restated a “buy” rating on shares of Astrazeneca in a report on Wednesday, July 1st. Deutsche Bank Aktiengesellschaft reaffirmed a “sell” rating on shares of Astrazeneca in a research report on Tuesday, June 30th. Morgan Stanley reaffirmed an “overweight” rating on shares of Astrazeneca in a research note on Wednesday, April 8th. Finally, Weiss Ratings cut shares of Astrazeneca from a “buy (b)” rating to a “buy (b-)” rating in a research note on Thursday, June 18th. Fourteen analysts have rated the stock with a Buy rating and one has given a Sell rating to the company. Based on data from MarketBeat, Astrazeneca currently has a consensus rating of “Moderate Buy” and an average target price of $211.00.

Astrazeneca Trading Down 6.7%

The business’s 50-day moving average is $184.14 and its two-hundred day moving average is $188.61. The company has a current ratio of 0.91, a quick ratio of 0.71 and a debt-to-equity ratio of 0.52. The stock has a market capitalization of $273.88 billion, a PE ratio of 26.47, a PEG ratio of 1.57 and a beta of 0.24.

Astrazeneca (NYSE:AZN) last released its quarterly earnings data on Wednesday, April 29th. The company reported $2.58 EPS for the quarter, beating the consensus estimate of $2.52 by $0.06. The company had revenue of $15.29 billion for the quarter, compared to analyst estimates of $14.93 billion. Astrazeneca had a return on equity of 30.86% and a net margin of 17.19%. On average, analysts predict that Astrazeneca Plc will post 10.28 earnings per share for the current year.

Institutional Investors Weigh In On Astrazeneca

Hedge funds have recently modified their holdings of the stock. Triumph Capital Management acquired a new stake in Astrazeneca in the third quarter valued at approximately $25,000. MV Capital Management Inc. acquired a new position in shares of Astrazeneca during the fourth quarter worth $26,000. Mascoma Wealth Management LLC purchased a new position in shares of Astrazeneca in the first quarter valued at $26,000. Bangor Savings Bank grew its holdings in Astrazeneca by 102.7% during the 4th quarter. Bangor Savings Bank now owns 304 shares of the company’s stock valued at $28,000 after purchasing an additional 154 shares in the last quarter. Finally, Roxbury Financial LLC acquired a new stake in Astrazeneca during the 2nd quarter valued at $29,000. 20.35% of the stock is currently owned by hedge funds and other institutional investors.

About Astrazeneca

AstraZeneca plc is a global biopharmaceutical company headquartered in Cambridge, England. Formed through the 1999 merger of Sweden’s Astra AB and the UK’s Zeneca Group, the company researches, develops, manufactures and commercializes prescription medicines across a range of therapeutic areas. AstraZeneca positions itself as R&D-driven, investing in discovery science, clinical development and regulatory processes to bring new therapies to market.

The company’s commercial portfolio and late-stage pipeline emphasize oncology, cardiovascular, renal and metabolic (CVRM) diseases, and respiratory and immunology.