Otonomy (NASDAQ:OTIC) was downgraded by Zacks Investment Research from a “hold” rating to a “sell” rating in a research report issued to clients and investors on Wednesday.

According to Zacks, “Otonomy, Inc. engages in developing and commercializing therapeutics to address unmet medical needs in the otology market. It develops therapeutics for treatment of inner and middle ear disorders. The Company’s product candidates under development includes AuriPro to treat pediatric patients with middle ear effusion; and OTO-104 for the treatment of patients with Ménière’s disease. Otonomy, Inc. is headquartered in San Diego, California. “

Separately, Piper Jaffray Companies reaffirmed a “hold” rating and issued a $8.00 price target on shares of Otonomy in a report on Friday, November 10th. Two research analysts have rated the stock with a sell rating, three have assigned a hold rating and two have issued a buy rating to the company. The company has a consensus rating of “Hold” and an average price target of $9.15.

Otonomy (NASDAQ:OTIC) opened at $5.80 on Wednesday. The stock has a market capitalization of $177.47, a P/E ratio of -1.80 and a beta of 3.33. Otonomy has a fifty-two week low of $2.80 and a fifty-two week high of $21.15.

Otonomy (NASDAQ:OTIC) last announced its quarterly earnings results on Wednesday, November 8th. The biopharmaceutical company reported ($0.69) earnings per share (EPS) for the quarter, beating the Zacks’ consensus estimate of ($0.84) by $0.15. The firm had revenue of $0.28 million during the quarter, compared to the consensus estimate of $0.43 million. Otonomy had a negative return on equity of 60.74% and a negative net margin of 7,899.03%. Otonomy’s revenue for the quarter was down 12.8% compared to the same quarter last year. research analysts predict that Otonomy will post -2.88 EPS for the current fiscal year.

A number of institutional investors and hedge funds have recently made changes to their positions in OTIC. JPMorgan Chase & Co. boosted its holdings in Otonomy by 10,065.2% in the second quarter. JPMorgan Chase & Co. now owns 517,410 shares of the biopharmaceutical company’s stock valued at $9,753,000 after purchasing an additional 512,320 shares in the last quarter. Bank of New York Mellon Corp boosted its holdings in Otonomy by 72.0% in the third quarter. Bank of New York Mellon Corp now owns 596,784 shares of the biopharmaceutical company’s stock valued at $1,939,000 after purchasing an additional 249,845 shares in the last quarter. Alpine Associates Management Inc. acquired a new position in Otonomy in the third quarter valued at approximately $797,000. Dimensional Fund Advisors LP boosted its holdings in shares of Otonomy by 31.1% in the second quarter. Dimensional Fund Advisors LP now owns 407,799 shares of the biopharmaceutical company’s stock valued at $7,687,000 after acquiring an additional 96,630 shares during the period. Finally, Dynamic Technology Lab Private Ltd acquired a new stake in shares of Otonomy in the third quarter valued at approximately $263,000. 60.57% of the stock is owned by hedge funds and other institutional investors.

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About Otonomy

Otonomy, Inc is a biopharmaceutical company. The Company focuses on the development and commercialization of therapeutics for diseases and disorders of the ear. The Company’s product candidates include OTIPRIO, OTO-104 and OTO-311. OTIPRIO is a single-dose, physician-administered antibacterial, which is used for the treatment of pediatric patients with bilateral otitis media with effusion undergoing tympanostomy tube placement (TTP) surgery and is available for commercial purchase.

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