Terns Pharmaceuticals (NASDAQ:TERN) Cut to Hold at Citizens Jmp

Citizens Jmp cut shares of Terns Pharmaceuticals (NASDAQ:TERN) from a market outperform rating to a hold rating in a report released on Thursday morning, Marketbeat Ratings reports.

Several other analysts have also recently issued reports on TERN. Barclays increased their target price on Terns Pharmaceuticals from $36.00 to $56.00 and gave the company an “overweight” rating in a research report on Tuesday, December 9th. Truist Financial upped their price objective on Terns Pharmaceuticals from $35.00 to $56.00 and gave the stock a “buy” rating in a research note on Tuesday, December 9th. TD Cowen raised Terns Pharmaceuticals to a “strong-buy” rating in a research report on Friday, February 20th. Oppenheimer lifted their target price on Terns Pharmaceuticals from $28.00 to $58.00 and gave the company an “outperform” rating in a research note on Tuesday, December 9th. Finally, Leerink Partners began coverage on shares of Terns Pharmaceuticals in a report on Monday, February 9th. They issued an “outperform” rating and a $58.00 target price for the company. One investment analyst has rated the stock with a Strong Buy rating, eight have given a Buy rating, four have given a Hold rating and one has issued a Sell rating to the company’s stock. According to MarketBeat, the company has a consensus rating of “Moderate Buy” and a consensus target price of $56.90.

Terns Pharmaceuticals Stock Down 0.5%

Shares of TERN stock opened at $52.92 on Thursday. The firm has a market cap of $5.49 billion, a price-to-earnings ratio of -51.38 and a beta of -0.31. Terns Pharmaceuticals has a 52-week low of $1.87 and a 52-week high of $53.19. The company’s 50 day moving average is $41.28 and its 200 day moving average is $29.21.

Insiders Place Their Bets

In other Terns Pharmaceuticals news, CEO Amy L. Burroughs sold 71,339 shares of the firm’s stock in a transaction that occurred on Monday, January 5th. The shares were sold at an average price of $38.10, for a total transaction of $2,718,015.90. Following the completion of the transaction, the chief executive officer directly owned 138,976 shares of the company’s stock, valued at approximately $5,294,985.60. This trade represents a 33.92% decrease in their position. The transaction was disclosed in a filing with the SEC, which can be accessed through this link. Also, insider Emil Kuriakose sold 1,155 shares of the business’s stock in a transaction dated Friday, January 2nd. The shares were sold at an average price of $38.57, for a total value of $44,548.35. Following the completion of the transaction, the insider directly owned 50,365 shares of the company’s stock, valued at approximately $1,942,578.05. This trade represents a 2.24% decrease in their position. The SEC filing for this sale provides additional information. Insiders sold a total of 170,409 shares of company stock valued at $6,563,769 in the last 90 days. 1.50% of the stock is currently owned by company insiders.

Institutional Investors Weigh In On Terns Pharmaceuticals

A number of institutional investors have recently added to or reduced their stakes in TERN. Morgan Stanley increased its position in shares of Terns Pharmaceuticals by 4.7% during the fourth quarter. Morgan Stanley now owns 7,945,608 shares of the company’s stock worth $321,003,000 after purchasing an additional 356,513 shares in the last quarter. Commodore Capital LP acquired a new stake in Terns Pharmaceuticals during the 3rd quarter worth $42,807,000. Adage Capital Partners GP L.L.C. grew its holdings in shares of Terns Pharmaceuticals by 40.9% during the fourth quarter. Adage Capital Partners GP L.L.C. now owns 5,550,000 shares of the company’s stock worth $224,220,000 after buying an additional 1,611,000 shares in the last quarter. Vanguard Group Inc. raised its position in shares of Terns Pharmaceuticals by 21.1% in the fourth quarter. Vanguard Group Inc. now owns 5,523,948 shares of the company’s stock valued at $223,167,000 after buying an additional 964,031 shares during the last quarter. Finally, Vestal Point Capital LP purchased a new position in shares of Terns Pharmaceuticals in the fourth quarter worth about $181,800,000. Institutional investors and hedge funds own 98.26% of the company’s stock.

Key Headlines Impacting Terns Pharmaceuticals

Here are the key news stories impacting Terns Pharmaceuticals this week:

• Positive Sentiment: Merck agreed to acquire Terns for about $6.7 billion in cash, bringing a late‑stage leukemia candidate into MRK’s oncology lineup—this deal narrative is the primary bullish catalyst supporting a sharp rally toward the $53 offer price. Merck to Buy Terns for $6.7 Billion to Grow in Blood Cancers
• Positive Sentiment: Analysts and news outlets emphasize Merck’s acquisition as strategic—adding a leukemia asset as Keytruda faces patent pressure—supporting upside sentiment for TERN shares. Merck to Boost Oncology Pipeline With $6.7B Terns Buyout, Stock Up
• Positive Sentiment: Market commentary notes a possible bidding‑war dynamic after the Merck approach, which can lift the stock above the announced offer if other suitors emerge. Merck’s deal for Terns sparks debate over a possible biotech bidding war
• Positive Sentiment: Market reaction has pushed TERN to a new 52‑week high as investors price in the deal and potential takeover premium. Terns Pharmaceuticals (NASDAQ:TERN) Hits New 52-Week High – Still a Buy?
• Neutral Sentiment: HC Wainwright reiterated a “Neutral” rating and published FY2030 estimates and a $53.00 price target—its view aligns with the announced cash price, leaving limited analyst upside ahead of deal closure. HC Wainwright Reaffirms Neutral Rating for Terns Pharmaceuticals (NASDAQ:TERN)
• Negative Sentiment: Unusually large put option activity was reported (7,719 puts, a ~96% increase vs. typical put volume), suggesting some traders are hedging or positioning for downside/uncertainty around deal terms or timing.
• Negative Sentiment: A shareholder law firm (Kahn Swick & Foti) opened an investigation into the adequacy of the $53 per‑share price and the sale process, which could lead to litigation or delay and adds execution risk. Terns Pharmaceuticals Investor Alert: Kahn Swick & Foti, LLC Investigates Adequacy of Price and Process in Proposed Sale of Terns Pharmaceuticals, Inc. – TERN
• Negative Sentiment: Several brokers trimmed coverage or lowered stances to “Hold” (Citizens/JMP, TD Cowen), reducing near‑term buy-side reinforcement; TD Cowen’s $53 target effectively prices the deal in with little upside. Benzinga

About Terns Pharmaceuticals

Terns Pharmaceuticals, Inc is a clinical‐stage biopharmaceutical company focused on developing oral small‐molecule therapies for the treatment of chronic liver diseases and other serious conditions. The company’s research and development efforts center on novel mechanisms of action designed to address the underlying causes of progressive liver disorders, including inflammation, fibrosis and metabolic dysregulation. By advancing targeted compounds that can be administered orally, Terns aims to offer patients more convenient and effective treatment options compared to injectable or biologic therapies.

The company’s pipeline features several candidates in various stages of preclinical and clinical evaluation.