Merrimack Pharmaceuticals Inc. (MACK) Upgraded at Zacks Investment Research
Merrimack Pharmaceuticals Inc. (NASDAQ:MACK) was upgraded by Zacks Investment Research from a “hold” rating to a “buy” rating in a research note issued on Wednesday. The firm presently has a $5.50 target price on the biopharmaceutical company’s stock. Zacks Investment Research’s price target would indicate a potential upside of 11.56% from the stock’s previous close.
According to Zacks, “Merrimack achieved a major boost with the FDA approval of Onivyde. Initial uptake of the drug has been encouraging and should boost the top line, going forward. Inclusion of the drug in the National Comprehensive Cancer Network (NCCN) pathway should also drive the drug’s sales. We are also positive on the company’s efforts to expand Onivyde’s label. Moreover, Merrimack’s collaboration with Shire for Onivyde is both financially and strategically beneficial. However, we are concerned by the company's sole dependence on Onivyde for growth. Also, Merrimack undertook a restructuring move to prioritize its R&D expenses on a focused set of oncology products and to strengthen its cash runway, which led to a 22% reduction in the headcount. Estimates have been mixed lately ahead of the company’s Q3 earnings release. The company has a mixed record of earnings surprises in the recent quarters.”
A number of other analysts have also weighed in on the company. JPMorgan Chase & Co. lowered Merrimack Pharmaceuticals from an “overweight” rating to a “neutral” rating and set a $5.75 target price on the stock. in a research note on Friday, October 7th. BTIG Research reiterated a “neutral” rating on shares of Merrimack Pharmaceuticals in a research note on Wednesday, October 5th. Robert W. Baird reiterated a “neutral” rating and issued a $7.00 target price (down previously from $8.00) on shares of Merrimack Pharmaceuticals in a research note on Wednesday, August 10th. Brean Capital set a $13.00 target price on Merrimack Pharmaceuticals and gave the stock a “buy” rating in a research note on Friday, August 5th. Finally, Cowen and Company lowered Merrimack Pharmaceuticals from an “outperform” rating to a “market perform” rating in a research note on Friday, August 5th. Four research analysts have rated the stock with a hold rating and four have issued a buy rating to the company’s stock. Merrimack Pharmaceuticals presently has an average rating of “Buy” and an average price target of $9.88.
This story is the sole property of American Banking News and it was originally published by American Banking News. If you are reading this story on another website, that means this article was illegally copied and re-published to this website in violation of U.S. and International copyright law. The original version of this article is available at http://www.americanbankingnews.com/2016/10/19/merrimack-pharmaceuticals-inc-mack-upgraded-at-zacks-investment-research.html
Merrimack Pharmaceuticals (NASDAQ:MACK) traded down 1.0892% during trading on Wednesday, hitting $4.8763. The stock had a trading volume of 1,730,313 shares. Merrimack Pharmaceuticals has a 52-week low of $4.39 and a 52-week high of $10.85. The stock’s 50-day moving average is $5.24 and its 200-day moving average is $6.03. The stock’s market capitalization is $630.21 million.
Merrimack Pharmaceuticals (NASDAQ:MACK) last released its earnings results on Thursday, August 4th. The biopharmaceutical company reported ($0.40) earnings per share for the quarter, missing analysts’ consensus estimates of ($0.33) by $0.07. The business earned $33.70 million during the quarter, compared to analyst estimates of $33.35 million. During the same quarter last year, the firm posted ($0.33) EPS. The firm’s revenue for the quarter was up 58.3% on a year-over-year basis. On average, analysts predict that Merrimack Pharmaceuticals will post ($1.02) earnings per share for the current fiscal year.
In related news, insider Birgit M. Schoeberl sold 50,000 shares of the firm’s stock in a transaction dated Monday, July 25th. The stock was sold at an average price of $5.50, for a total transaction of $275,000.00. Following the sale, the insider now owns 115,657 shares of the company’s stock, valued at $636,113.50. The sale was disclosed in a filing with the SEC, which is available through the SEC website. Insiders own 11.49% of the company’s stock.
A number of large investors have recently modified their holdings of MACK. FMR LLC increased its stake in shares of Merrimack Pharmaceuticals by 10.1% in the second quarter. FMR LLC now owns 19,158,769 shares of the biopharmaceutical company’s stock worth $103,265,000 after buying an additional 1,749,684 shares during the last quarter. Vanguard Group Inc. increased its stake in shares of Merrimack Pharmaceuticals by 10.4% in the second quarter. Vanguard Group Inc. now owns 10,196,415 shares of the biopharmaceutical company’s stock worth $54,958,000 after buying an additional 958,188 shares during the last quarter. Westfield Capital Management Co. LP increased its stake in shares of Merrimack Pharmaceuticals by 11.7% in the second quarter. Westfield Capital Management Co. LP now owns 9,074,557 shares of the biopharmaceutical company’s stock worth $48,912,000 after buying an additional 947,535 shares during the last quarter. Consonance Capital Management LP bought a new stake in shares of Merrimack Pharmaceuticals during the first quarter worth $49,175,000. Finally, BlackRock Fund Advisors increased its stake in shares of Merrimack Pharmaceuticals by 6.7% in the second quarter. BlackRock Fund Advisors now owns 5,635,702 shares of the biopharmaceutical company’s stock worth $30,376,000 after buying an additional 352,254 shares during the last quarter. 66.43% of the stock is currently owned by institutional investors.
About Merrimack Pharmaceuticals
Merrimack Pharmaceuticals, Inc is a biopharmaceutical company. The Company is engaged in discovering, developing and commercializing medicines consisting of therapeutics paired with companion diagnostics for the treatment of cancer. Its therapeutic oncology candidates in clinical development include MM-398, MM-302, MM-121, MM-141 and MM-151.
For more information about research offerings from Zacks Investment Research, visit Zacks.com
Receive News & Ratings for Merrimack Pharmaceuticals Inc. Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Merrimack Pharmaceuticals Inc. and related companies with MarketBeat.com's FREE daily email newsletter.