Wave Life Sciences (NASDAQ:WVE) Shares Gap Down After Earnings Miss

Wave Life Sciences Ltd. (NASDAQ:WVE) shares gapped down before the market opened on Thursday following a weaker than expected earnings announcement. The stock had previously closed at $6.49, but opened at $6.20. Wave Life Sciences shares last traded at $5.72, with a volume of 344,448 shares traded.

The company reported ($0.29) EPS for the quarter, missing the consensus estimate of ($0.27) by ($0.02). The company had revenue of $9.18 million for the quarter, compared to analyst estimates of $11.65 million. Wave Life Sciences had a negative return on equity of 280.57% and a negative net margin of 66.50%. During the same quarter in the prior year, the business posted ($0.24) earnings per share.

Analyst Upgrades and Downgrades

WVE has been the subject of several recent research reports. HC Wainwright reiterated a “buy” rating and set a $22.00 price objective on shares of Wave Life Sciences in a report on Wednesday, March 26th. Cantor Fitzgerald assumed coverage on Wave Life Sciences in a research note on Tuesday, April 29th. They set an “overweight” rating and a $10.00 price target for the company. StockNews.com upgraded Wave Life Sciences from a “sell” rating to a “hold” rating in a report on Saturday, March 8th. Jefferies Financial Group initiated coverage on shares of Wave Life Sciences in a research note on Tuesday, February 25th. They issued a “buy” rating and a $26.00 target price for the company. Finally, Wedbush assumed coverage on shares of Wave Life Sciences in a report on Tuesday, April 8th. They set an “outperform” rating and a $18.00 price target on the stock. Two equities research analysts have rated the stock with a hold rating, ten have assigned a buy rating and one has issued a strong buy rating to the company’s stock. Based on data from MarketBeat, Wave Life Sciences currently has a consensus rating of “Moderate Buy” and a consensus target price of $21.17.

Insider Activity

In related news, Director Christian O. Henry sold 10,500 shares of the business’s stock in a transaction on Thursday, March 20th. The shares were sold at an average price of $9.77, for a total transaction of $102,585.00. Following the transaction, the director now owns 16,115 shares of the company’s stock, valued at approximately $157,443.55. The trade was a 39.45 % decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available through this hyperlink. Also, CEO Paul Bolno sold 169,025 shares of Wave Life Sciences stock in a transaction dated Friday, March 7th. The stock was sold at an average price of $9.57, for a total value of $1,617,569.25. Following the sale, the chief executive officer now directly owns 338,351 shares in the company, valued at approximately $3,238,019.07. This trade represents a 33.31 % decrease in their ownership of the stock. The disclosure for this sale can be found here. 29.10% of the stock is currently owned by company insiders.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently bought and sold shares of the company. Victory Capital Management Inc. boosted its stake in Wave Life Sciences by 16.6% in the 4th quarter. Victory Capital Management Inc. now owns 14,546 shares of the company’s stock valued at $180,000 after buying an additional 2,073 shares in the last quarter. Bank of New York Mellon Corp boosted its stake in shares of Wave Life Sciences by 0.9% in the 1st quarter. Bank of New York Mellon Corp now owns 247,251 shares of the company’s stock valued at $1,998,000 after purchasing an additional 2,278 shares in the last quarter. Summit Investment Advisors Inc. grew its holdings in shares of Wave Life Sciences by 31.5% in the 4th quarter. Summit Investment Advisors Inc. now owns 9,642 shares of the company’s stock worth $119,000 after purchasing an additional 2,308 shares during the last quarter. GF Fund Management CO. LTD. acquired a new stake in shares of Wave Life Sciences during the 4th quarter worth about $40,000. Finally, Kraematon Investment Advisors Inc. lifted its holdings in Wave Life Sciences by 24.3% during the 4th quarter. Kraematon Investment Advisors Inc. now owns 19,885 shares of the company’s stock valued at $246,000 after purchasing an additional 3,885 shares during the last quarter. 89.73% of the stock is owned by institutional investors.

Wave Life Sciences Stock Up 1.1 %

The stock has a market capitalization of $1.01 billion, a price-to-earnings ratio of -5.91 and a beta of -0.92. The stock’s 50-day simple moving average is $7.87 and its 200 day simple moving average is $11.24.

About Wave Life Sciences

Wave Life Sciences Ltd., a clinical-stage biotechnology company, designs, develops, and commercializes ribonucleic acid (RNA) medicines through PRISM, a discovery and drug development platform. The company's RNA medicines platform, PRISM, combines multiple modalities, chemistry innovation, and deep insights into human genetics to deliver scientific breakthroughs that treat both rare and prevalent disorders.