HC Wainwright Issues Pessimistic Outlook for PRAX Earnings

Praxis Precision Medicines, Inc. (NASDAQ:PRAX) – HC Wainwright lowered their FY2028 earnings estimates for Praxis Precision Medicines in a note issued to investors on Tuesday, June 2nd. HC Wainwright analyst D. Tsao now forecasts that the company will earn $29.24 per share for the year, down from their prior estimate of $31.73. HC Wainwright currently has a “Buy” rating and a $1,201.00 target price on the stock. The consensus estimate for Praxis Precision Medicines’ current full-year earnings is ($14.79) per share. HC Wainwright also issued estimates for Praxis Precision Medicines’ FY2029 earnings at $82.12 EPS.

Praxis Precision Medicines (NASDAQ:PRAX) last posted its quarterly earnings results on Thursday, May 7th. The company reported ($3.20) EPS for the quarter, topping analysts’ consensus estimates of ($3.58) by $0.38.

A number of other analysts have also weighed in on the stock. Oppenheimer reaffirmed an “outperform” rating and issued a $650.00 price objective (down from $750.00) on shares of Praxis Precision Medicines in a research note on Tuesday. Wedbush cut their price target on shares of Praxis Precision Medicines from $166.00 to $162.00 and set an “underperform” rating on the stock in a report on Tuesday. BTIG Research reiterated a “buy” rating and issued a $810.00 price target (down from $843.00) on shares of Praxis Precision Medicines in a report on Tuesday. Truist Financial set a $616.00 price target on shares of Praxis Precision Medicines and gave the stock a “buy” rating in a report on Tuesday. Finally, Robert W. Baird cut their price target on shares of Praxis Precision Medicines from $433.00 to $400.00 and set an “outperform” rating on the stock in a report on Tuesday. Four investment analysts have rated the stock with a Strong Buy rating, thirteen have issued a Buy rating, one has assigned a Hold rating and two have given a Sell rating to the company’s stock. According to MarketBeat.com, Praxis Precision Medicines has an average rating of “Moderate Buy” and a consensus price target of $572.72.

Praxis Precision Medicines Trading Up 8.1%

NASDAQ PRAX opened at $278.93 on Thursday. The company’s 50-day moving average price is $326.12 and its 200-day moving average price is $297.85. The stock has a market cap of $7.78 billion, a PE ratio of -20.86 and a beta of 2.71. Praxis Precision Medicines has a 12 month low of $37.19 and a 12 month high of $366.52.

Institutional Investors Weigh In On Praxis Precision Medicines

A number of hedge funds and other institutional investors have recently made changes to their positions in the company. Orbis Allan Gray Ltd purchased a new position in Praxis Precision Medicines in the 4th quarter valued at $369,946,000. Janus Henderson Group PLC lifted its holdings in Praxis Precision Medicines by 17.2% in the 4th quarter. Janus Henderson Group PLC now owns 3,240,086 shares of the company’s stock valued at $954,834,000 after purchasing an additional 476,227 shares in the last quarter. Barclays PLC lifted its holdings in Praxis Precision Medicines by 592.6% in the 4th quarter. Barclays PLC now owns 530,751 shares of the company’s stock valued at $156,434,000 after purchasing an additional 454,114 shares in the last quarter. Baker BROS. Advisors LP lifted its holdings in Praxis Precision Medicines by 63.4% in the 4th quarter. Baker BROS. Advisors LP now owns 1,126,488 shares of the company’s stock valued at $332,021,000 after purchasing an additional 437,000 shares in the last quarter. Finally, Perceptive Advisors LLC lifted its holdings in Praxis Precision Medicines by 27.6% in the 4th quarter. Perceptive Advisors LLC now owns 1,995,986 shares of the company’s stock valued at $588,297,000 after purchasing an additional 431,432 shares in the last quarter. Institutional investors and hedge funds own 67.84% of the company’s stock.

Key Stories Impacting Praxis Precision Medicines

Here are the key news stories impacting Praxis Precision Medicines this week:

• Positive Sentiment: HC Wainwright reiterated a Buy rating on Praxis Precision Medicines and only slightly lowered its FY2030 EPS estimate and price target, signaling continued long-term optimism despite near-term volatility. HC Wainwright estimate cut and price target on PRAX
• Positive Sentiment: Several analysts still see substantial upside, with recent reports from Robert W. Baird and HC Wainwright maintaining constructive views on the stock. Analyst updates on PRAX
• Neutral Sentiment: Praxis announced small inducement stock grants to attract new employees, a routine corporate action with limited immediate impact on the share price. Inducement grants announcement
• Negative Sentiment: Praxis paused one of its seizure programs after its Phase 2/3 POWER1 study of vormatrigine missed the primary endpoint, raising concerns about the company’s epilepsy pipeline and execution risk. Vormatrigine trial setback
• Negative Sentiment: The trial failure triggered sharp negative press coverage and an after-hours selloff, suggesting investors are reassessing the value of the company’s seizure franchise. MarketWatch report on PRAX trial failure

Praxis Precision Medicines Company Profile

Praxis Precision Medicines is a clinical-stage biopharmaceutical company focused on discovering and developing precision therapies for disorders driven by neuronal excitability. The company applies translational neuroscience and genetic insights to design small molecule drugs that target specific ion channels and receptor subtypes implicated in neurological and psychiatric conditions. Its research aims to address unmet needs in rare epilepsies, essential tremor, treatment-resistant depression and other central nervous system (CNS) disorders.

The company’s pipeline includes several lead candidates at various stages of development.