Mereo BioPharma Group (NASDAQ:MREO) Trading 5% Higher – Should You Buy?

Shares of Mereo BioPharma Group plc – Sponsored ADR (NASDAQ:MREO) were up 5% on Monday . The stock traded as high as $0.3150 and last traded at $0.3021. 1,304,967 shares changed hands during trading, an increase of 41% from the average daily volume of 924,380 shares. The stock had previously closed at $0.2878.

Analysts Set New Price Targets

A number of brokerages have recently issued reports on MREO. BTIG Research restated a “buy” rating and issued a $1.00 target price on shares of Mereo BioPharma Group in a research note on Tuesday, May 12th. Zacks Research upgraded Mereo BioPharma Group from a “strong sell” rating to a “hold” rating in a research note on Wednesday, June 10th. Finally, Weiss Ratings reissued a “sell (e+)” rating on shares of Mereo BioPharma Group in a report on Thursday, July 2nd. Three research analysts have rated the stock with a Buy rating, four have issued a Hold rating and one has given a Sell rating to the company’s stock. Based on data from MarketBeat.com, the stock currently has a consensus rating of “Hold” and an average target price of $3.25.

Mereo BioPharma Group Stock Up 5.0%

The company has a 50 day moving average of $0.31 and a 200-day moving average of $0.36. The stock has a market capitalization of $48.22 million, a P/E ratio of -6.04 and a beta of 0.35.

Mereo BioPharma Group (NASDAQ:MREO) last released its quarterly earnings data on Tuesday, May 12th. The company reported ($0.01) EPS for the quarter, missing analysts’ consensus estimates of $0.02 by ($0.03). Equities analysts forecast that Mereo BioPharma Group plc – Sponsored ADR will post -0.02 EPS for the current fiscal year.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently modified their holdings of MREO. 683 Capital Management LLC boosted its stake in Mereo BioPharma Group by 208.2% in the fourth quarter. 683 Capital Management LLC now owns 15,025,000 shares of the company’s stock valued at $6,261,000 after acquiring an additional 10,150,000 shares during the period. EcoR1 Capital LLC bought a new position in shares of Mereo BioPharma Group during the fourth quarter valued at approximately $3,274,000. Monaco Asset Management SAM raised its position in shares of Mereo BioPharma Group by 67.6% during the 4th quarter. Monaco Asset Management SAM now owns 1,585,214 shares of the company’s stock worth $661,000 after purchasing an additional 639,299 shares during the period. Baader Bank Aktiengesellschaft acquired a new stake in shares of Mereo BioPharma Group during the 4th quarter worth approximately $54,000. Finally, Tejara Capital Ltd lifted its holdings in shares of Mereo BioPharma Group by 13.3% in the 4th quarter. Tejara Capital Ltd now owns 2,159,681 shares of the company’s stock worth $900,000 after purchasing an additional 252,837 shares during the last quarter. 62.83% of the stock is owned by institutional investors and hedge funds.

About Mereo BioPharma Group

Mereo BioPharma Group plc is a clinical‐stage biopharmaceutical company focused on developing novel therapies for rare diseases, oncology and severe respiratory conditions. The company pursues an asset‐centric model, in which it in-licenses or acquires clinical-stage small molecules and monoclonal antibodies with established safety profiles. By concentrating resources on a select number of programs, Mereo aims to accelerate proof-of-concept studies and maximize the potential value of each therapeutic candidate.

Mereo’s pipeline includes investigational therapies for skeletal disorders, such as setrusumab (BPS-804) for osteogenesis imperfecta, and treatments for acute and chronic respiratory diseases.