Schrodinger (NASDAQ:SDGR) Stock Price Up 8.9% – Here’s Why

Schrodinger, Inc. (NASDAQ:SDGR) shot up 8.9% during mid-day trading on Tuesday. The stock traded as high as $26.72 and last traded at $26.6750. 503,271 shares changed hands during trading, a decline of 67% from the average daily volume of 1,531,311 shares. The stock had previously closed at $24.50.

Analysts Set New Price Targets

Several research firms have weighed in on SDGR. Weiss Ratings raised shares of Schrodinger from a “sell (e+)” rating to a “sell (d-)” rating in a research note on Thursday, August 27th. TD Cowen upped their price objective on shares of Schrodinger from $20.00 to $31.00 and gave the company a “buy” rating in a report on Tuesday, October 13th. UBS Group upped their price objective on shares of Schrodinger from $19.00 to $21.00 and gave the company a “neutral” rating in a report on Tuesday, October 20th. BMO Capital Markets increased their price objective on shares of Schrodinger from $24.00 to $30.00 and gave the stock an “outperform” rating in a research report on Monday, October 12th. Finally, Wall Street Zen upgraded Schrodinger from a “strong sell” rating to a “hold” rating in a research note on Saturday, August 8th. One analyst has rated the stock with a Strong Buy rating, four have issued a Buy rating, two have assigned a Hold rating and one has assigned a Sell rating to the company’s stock. According to MarketBeat.com, the stock has an average rating of “Moderate Buy” and a consensus price target of $25.83.

Schrodinger Price Performance

The stock has a market cap of $2.28 billion, a P/E ratio of -41.72 and a beta of 1.62. The company has a fifty day moving average price of $24.60 and a 200 day moving average price of $16.71.

Schrodinger (NASDAQ:SDGR) last issued its earnings results on Wednesday, August 5th. The company reported $0.08 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of ($0.41) by $0.49. Schrodinger had a negative return on equity of 16.37% and a negative net margin of 20.98%. The company had revenue of $58.89 million for the quarter, compared to analysts’ expectations of $47.19 million. During the same period last year, the business earned ($0.65) EPS. Schrodinger’s quarterly revenue was up 7.5% compared to the same quarter last year. As a group, sell-side analysts expect that Schrodinger, Inc. will post -1.50 earnings per share for the current fiscal year.

Insiders Place Their Bets

In other Schrodinger news, insider Karen Akinsanya sold 31,599 shares of the company’s stock in a transaction on Thursday, September 17th. The shares were sold at an average price of $29.37, for a total transaction of $928,062.63. Following the transaction, the insider owned 69,956 shares in the company, valued at approximately $2,054,607.72. This represents a 31.12% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is accessible through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders own 10.10% of the company’s stock.

Institutional Inflows and Outflows

A number of hedge funds have recently made changes to their positions in the business. Rubric Capital Management LP lifted its holdings in shares of Schrodinger by 43.8% in the first quarter. Rubric Capital Management LP now owns 6,000,000 shares of the company’s stock valued at $68,160,000 after purchasing an additional 1,828,502 shares in the last quarter. Quantinno Capital Management LP bought a new stake in Schrodinger during the first quarter worth $1,978,000. Tejara Capital Ltd bought a new stake in Schrodinger during the second quarter worth $4,553,000. BlackRock Inc. bought a new stake in Schrodinger during the second quarter worth $170,978,000. Finally, Bank of America Corp DE purchased a new stake in Schrodinger in the 2nd quarter valued at $2,936,000. 79.05% of the stock is currently owned by institutional investors and hedge funds.

Schrodinger Company Profile

Schrödinger, Inc develops computational software and services designed to support pharmaceutical, biotechnology and materials research. Its platform uses physics-based modeling, machine learning and other computational methods to help scientists analyze molecular interactions, design compounds and prioritize candidates for experimental testing.

The company’s software offerings include tools for molecular modeling, quantum chemistry, molecular dynamics, virtual screening, property prediction and free-energy calculations.