Erasca (NASDAQ:ERAS) Shares Gap Down – Here’s Why

Erasca, Inc. (NASDAQ:ERAS) shares gapped down before the market opened on Wednesday . The stock had previously closed at $9.81, but opened at $9.20. Erasca shares last traded at $8.9790, with a volume of 1,922,288 shares trading hands.

Analyst Upgrades and Downgrades

Several analysts recently commented on ERAS shares. Morgan Stanley set a $4.00 target price on Erasca in a research report on Thursday, January 8th. Mizuho raised their price target on Erasca from $4.00 to $5.00 and gave the company an “outperform” rating in a report on Tuesday, December 9th. Stifel Nicolaus set a $10.00 price objective on shares of Erasca in a research note on Monday, January 12th. Piper Sandler upped their price objective on shares of Erasca from $5.00 to $11.00 and gave the stock an “overweight” rating in a report on Friday, January 16th. Finally, Weiss Ratings reissued a “sell (d-)” rating on shares of Erasca in a research note on Wednesday, October 8th. Seven analysts have rated the stock with a Buy rating, one has issued a Hold rating and two have assigned a Sell rating to the stock. Based on data from MarketBeat.com, Erasca currently has a consensus rating of “Moderate Buy” and a consensus target price of $6.11.

Erasca Trading Down 3.2%

The firm has a market capitalization of $2.83 billion, a P/E ratio of -22.13 and a beta of 1.15. The business’s fifty day moving average is $4.47 and its 200 day moving average is $2.77.

Erasca (NASDAQ:ERAS) last posted its quarterly earnings results on Wednesday, November 12th. The company reported ($0.11) earnings per share (EPS) for the quarter, hitting the consensus estimate of ($0.11). As a group, sell-side analysts predict that Erasca, Inc. will post -0.73 earnings per share for the current fiscal year.

Insider Activity at Erasca

In related news, General Counsel Ebun Garner sold 120,000 shares of the stock in a transaction on Wednesday, January 7th. The stock was sold at an average price of $5.59, for a total value of $670,800.00. Following the completion of the transaction, the general counsel owned 25,076 shares in the company, valued at $140,174.84. This trade represents a 82.72% decrease in their position. The transaction was disclosed in a document filed with the SEC, which can be accessed through the SEC website. 14.40% of the stock is currently owned by corporate insiders.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently made changes to their positions in the company. Palumbo Wealth Management LLC raised its holdings in shares of Erasca by 11.9% during the fourth quarter. Palumbo Wealth Management LLC now owns 139,385 shares of the company’s stock valued at $519,000 after acquiring an additional 14,852 shares during the period. Wealthcare Advisory Partners LLC acquired a new position in Erasca in the 4th quarter worth approximately $56,000. SG Americas Securities LLC grew its position in Erasca by 233.3% during the 4th quarter. SG Americas Securities LLC now owns 48,677 shares of the company’s stock worth $181,000 after purchasing an additional 34,072 shares in the last quarter. CIBC Bancorp USA Inc. acquired a new stake in Erasca during the 3rd quarter valued at $40,000. Finally, Vivo Capital LLC lifted its holdings in shares of Erasca by 37.2% in the third quarter. Vivo Capital LLC now owns 9,273,428 shares of the company’s stock valued at $20,216,000 after purchasing an additional 2,516,672 shares in the last quarter. 67.78% of the stock is currently owned by institutional investors and hedge funds.

About Erasca

Erasca, Inc is a clinical‐stage biopharmaceutical company dedicated to the discovery and development of precision medicines for patients with cancer. The company focuses on small molecule therapeutics that target critical signaling pathways involved in tumor growth and survival, with a primary emphasis on inhibitors of the MAPK pathway. Erasca’s approach is designed to deliver oral, targeted therapies that address both oncogene‐driven and immuno‐oncology indications, aiming to improve outcomes for patients with unmet medical needs.

Erasca’s pipeline comprises multiple development candidates, including small molecule inhibitors engineered to disrupt key nodes in cancer cell signaling.