Summit Therapeutics (NASDAQ:SMMT) Shares Gap Down – What’s Next?

Summit Therapeutics PLC (NASDAQ:SMMT)’s share price gapped down prior to trading on Wednesday . The stock had previously closed at $14.29, but opened at $13.12. Summit Therapeutics shares last traded at $13.7650, with a volume of 667,324 shares.

Wall Street Analysts Forecast Growth

A number of equities analysts have weighed in on the stock. Sanford C. Bernstein initiated coverage on shares of Summit Therapeutics in a research report on Thursday, May 21st. They issued an “underperform” rating and a $7.70 price target for the company. Weiss Ratings restated a “sell (d-)” rating on shares of Summit Therapeutics in a research note on Tuesday, April 21st. Truist Financial raised shares of Summit Therapeutics to a “strong-buy” rating in a report on Wednesday, March 25th. Piper Sandler cut their price target on Summit Therapeutics from $17.00 to $16.00 and set a “neutral” rating for the company in a research note on Friday, May 1st. Finally, HC Wainwright cut Summit Therapeutics from a “buy” rating to a “neutral” rating in a report on Friday, May 22nd. One research analyst has rated the stock with a Strong Buy rating, eight have assigned a Buy rating, six have issued a Hold rating and two have assigned a Sell rating to the stock. According to data from MarketBeat, the stock presently has a consensus rating of “Hold” and an average price target of $27.23.

Summit Therapeutics Price Performance

The firm’s 50-day moving average price is $18.65 and its 200-day moving average price is $17.37. The stock has a market cap of $10.15 billion, a P/E ratio of -8.18 and a beta of -1.32.

Summit Therapeutics (NASDAQ:SMMT) last issued its earnings results on Friday, May 1st. The company reported ($0.24) earnings per share for the quarter, topping analysts’ consensus estimates of ($0.27) by $0.03. Sell-side analysts expect that Summit Therapeutics PLC will post -1.18 earnings per share for the current year.

Insider Activity

In other news, CFO Manmeet Singh Soni bought 50,000 shares of Summit Therapeutics stock in a transaction dated Thursday, June 4th. The shares were purchased at an average cost of $14.45 per share, with a total value of $722,500.00. Following the completion of the acquisition, the chief financial officer owned 3,123,603 shares of the company’s stock, valued at $45,136,063.35. This trade represents a 1.63% increase in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. Also, CEO Robert W. Duggan bought 100,000 shares of the firm’s stock in a transaction that occurred on Thursday, June 4th. The stock was purchased at an average price of $14.60 per share, for a total transaction of $1,460,000.00. Following the completion of the transaction, the chief executive officer directly owned 25,824,474 shares of the company’s stock, valued at $377,037,320.40. This represents a 0.39% increase in their position. The disclosure for this purchase is available in the SEC filing. Insiders bought a total of 250,000 shares of company stock worth $3,642,500 over the last 90 days. Corporate insiders own 83.50% of the company’s stock.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently modified their holdings of the company. Parallel Advisors LLC increased its position in Summit Therapeutics by 4,178.0% in the first quarter. Parallel Advisors LLC now owns 2,139 shares of the company’s stock worth $41,000 after purchasing an additional 2,089 shares during the last quarter. Bank of America Corp DE lifted its position in Summit Therapeutics by 25.4% during the first quarter. Bank of America Corp DE now owns 598,692 shares of the company’s stock valued at $11,351,000 after purchasing an additional 121,299 shares during the last quarter. Royal Bank of Canada grew its stake in shares of Summit Therapeutics by 132.2% in the 1st quarter. Royal Bank of Canada now owns 7,422 shares of the company’s stock worth $141,000 after buying an additional 4,226 shares in the last quarter. The Manufacturers Life Insurance Company grew its stake in shares of Summit Therapeutics by 34.4% in the 1st quarter. The Manufacturers Life Insurance Company now owns 592,810 shares of the company’s stock worth $11,240,000 after buying an additional 151,857 shares in the last quarter. Finally, Quantinno Capital Management LP increased its holdings in shares of Summit Therapeutics by 415.5% in the 1st quarter. Quantinno Capital Management LP now owns 73,835 shares of the company’s stock worth $1,400,000 after buying an additional 59,512 shares during the last quarter. 4.61% of the stock is currently owned by institutional investors.

About Summit Therapeutics

Summit Therapeutics plc is a clinical‐stage biotechnology company dedicated to the discovery and development of precision medicines for serious and life‐threatening diseases. The company applies a targeted approach to drug design, focusing on novel mechanisms of action that differentiate its candidates from existing therapies.

Summit’s lead asset, ridinilazole (formerly SMT19969), is being developed to treat Clostridioides difficile infections and has received both Fast Track and Qualified Infectious Disease Product designations from the U.S.