Alkermes (NASDAQ:ALKS) Shares Gap Up – Still a Buy?

Alkermes plc (NASDAQ:ALKS)’s stock price gapped up prior to trading on Tuesday . The stock had previously closed at $30.15, but opened at $32.96. Alkermes shares last traded at $34.56, with a volume of 1,574,425 shares changing hands.

Analyst Ratings Changes

Several research analysts have commented on the stock. Wall Street Zen cut shares of Alkermes from a “buy” rating to a “hold” rating in a research report on Saturday, February 28th. Royal Bank Of Canada cut their price target on Alkermes from $47.00 to $45.00 and set an “outperform” rating on the stock in a report on Thursday, February 26th. Truist Financial upgraded Alkermes to a “strong-buy” rating in a research report on Wednesday, March 25th. Piper Sandler decreased their price objective on Alkermes from $45.00 to $43.00 and set an “overweight” rating for the company in a report on Tuesday, March 24th. Finally, Bank of America raised their target price on Alkermes from $33.00 to $34.00 and gave the company a “neutral” rating in a research report on Friday, February 20th. Two research analysts have rated the stock with a Strong Buy rating, eleven have issued a Buy rating, four have issued a Hold rating and one has assigned a Sell rating to the company’s stock. According to data from MarketBeat, the stock presently has an average rating of “Moderate Buy” and a consensus target price of $43.93.

Alkermes Stock Up 14.6%

The business has a 50-day simple moving average of $31.28 and a two-hundred day simple moving average of $30.19. The stock has a market capitalization of $5.76 billion, a price-to-earnings ratio of 24.21, a P/E/G ratio of 7.33 and a beta of 0.53.

Alkermes (NASDAQ:ALKS) last issued its quarterly earnings results on Thursday, February 26th. The company reported $0.29 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.43 by ($0.14). Alkermes had a net margin of 16.37% and a return on equity of 14.91%. The firm had revenue of $384.55 million for the quarter, compared to analyst estimates of $380.44 million. During the same quarter last year, the business posted $1.05 earnings per share. The firm’s revenue for the quarter was down 10.6% compared to the same quarter last year. On average, analysts forecast that Alkermes plc will post 1.31 EPS for the current year.

Insider Transactions at Alkermes

In related news, SVP Christian Todd Nichols sold 6,000 shares of Alkermes stock in a transaction dated Monday, March 2nd. The stock was sold at an average price of $30.00, for a total transaction of $180,000.00. Following the transaction, the senior vice president directly owned 109,769 shares of the company’s stock, valued at $3,293,070. The trade was a 5.18% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. Also, Director Shane Cooke sold 61,200 shares of the business’s stock in a transaction dated Monday, February 2nd. The stock was sold at an average price of $34.57, for a total transaction of $2,115,684.00. Following the completion of the sale, the director owned 103,744 shares in the company, valued at approximately $3,586,430.08. This trade represents a 37.10% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Over the last ninety days, insiders sold 157,434 shares of company stock worth $5,305,794. Corporate insiders own 4.40% of the company’s stock.

Institutional Trading of Alkermes

A number of hedge funds and other institutional investors have recently made changes to their positions in the business. Hsbc Holdings PLC lifted its stake in Alkermes by 20.4% during the fourth quarter. Hsbc Holdings PLC now owns 42,817 shares of the company’s stock valued at $1,202,000 after purchasing an additional 7,269 shares during the last quarter. T. Rowe Price Investment Management Inc. acquired a new position in Alkermes in the fourth quarter worth approximately $59,000. Mercer Global Advisors Inc. ADV acquired a new position in Alkermes in the fourth quarter worth approximately $256,000. Summit Global Investments increased its holdings in shares of Alkermes by 48.8% in the fourth quarter. Summit Global Investments now owns 29,662 shares of the company’s stock valued at $830,000 after buying an additional 9,724 shares in the last quarter. Finally, Vident Advisory LLC increased its holdings in shares of Alkermes by 1.1% in the fourth quarter. Vident Advisory LLC now owns 82,294 shares of the company’s stock valued at $2,303,000 after buying an additional 864 shares in the last quarter. 95.21% of the stock is currently owned by institutional investors.

About Alkermes

Alkermes plc is a biopharmaceutical company focused on developing innovative medicines to address unmet needs in the central nervous system (CNS). The company applies its proprietary drug delivery technologies and therapeutic expertise to advance treatments for addiction, schizophrenia, bipolar I disorder and depression. Alkermes’ portfolio includes both commercial products and a pipeline of investigational therapies designed to improve patient outcomes and support long-term disease management.

Alkermes’ commercial franchise features several approved products.