Morgan Stanley Lowers Compass Pathways (NASDAQ:CMPS) Price Target to $16.00

Compass Pathways (NASDAQ:CMPS) had its price target lowered by investment analysts at Morgan Stanley from $18.00 to $16.00 in a report released on Wednesday,Benzinga reports. The firm presently has an “overweight” rating on the stock. Morgan Stanley’s target price would suggest a potential upside of 183.69% from the company’s previous close.

A number of other research analysts have also commented on CMPS. Compass Point set a $15.00 price objective on shares of Compass Pathways in a research report on Thursday, February 12th. HC Wainwright lifted their target price on Compass Pathways from $40.00 to $70.00 and gave the stock a “buy” rating in a research report on Monday, March 2nd. Canaccord Genuity Group boosted their price target on Compass Pathways from $15.00 to $20.00 and gave the company a “buy” rating in a research note on Wednesday, February 18th. Weiss Ratings reaffirmed a “sell (d-)” rating on shares of Compass Pathways in a report on Wednesday, January 21st. Finally, Lifesci Capital upgraded Compass Pathways to a “strong-buy” rating in a research report on Thursday, February 12th. One investment analyst has rated the stock with a Strong Buy rating, six have given a Buy rating, one has given a Hold rating and one has assigned a Sell rating to the company. Based on data from MarketBeat.com, the company presently has a consensus rating of “Moderate Buy” and a consensus price target of $21.63.

Compass Pathways Trading Up 0.4%

Shares of Compass Pathways stock opened at $5.64 on Wednesday. Compass Pathways has a 1 year low of $2.25 and a 1 year high of $8.90. The company’s fifty day simple moving average is $6.70 and its 200-day simple moving average is $6.29. The company has a market cap of $541.55 million, a price-to-earnings ratio of -1.83 and a beta of 1.90. The company has a current ratio of 0.77, a quick ratio of 1.23 and a debt-to-equity ratio of 0.55.

Compass Pathways (NASDAQ:CMPS) last issued its quarterly earnings results on Tuesday, March 24th. The company reported ($1.00) earnings per share for the quarter, missing analysts’ consensus estimates of ($0.41) by ($0.59). As a group, sell-side analysts expect that Compass Pathways will post -2.33 EPS for the current year.

Institutional Trading of Compass Pathways

Several institutional investors have recently made changes to their positions in the business. RTW Investments LP increased its stake in Compass Pathways by 0.6% in the fourth quarter. RTW Investments LP now owns 8,757,390 shares of the company’s stock valued at $60,426,000 after acquiring an additional 50,000 shares during the period. Nantahala Capital Management LLC lifted its stake in Compass Pathways by 47.7% during the second quarter. Nantahala Capital Management LLC now owns 4,179,930 shares of the company’s stock worth $11,704,000 after purchasing an additional 1,350,698 shares during the period. Millennium Management LLC lifted its stake in Compass Pathways by 39.9% during the third quarter. Millennium Management LLC now owns 2,715,872 shares of the company’s stock worth $15,562,000 after purchasing an additional 774,090 shares during the period. Toronto Dominion Bank boosted its holdings in Compass Pathways by 152.9% during the fourth quarter. Toronto Dominion Bank now owns 2,529,013 shares of the company’s stock valued at $17,447,000 after purchasing an additional 1,529,013 shares in the last quarter. Finally, ARK Investment Management LLC boosted its holdings in Compass Pathways by 1.6% during the fourth quarter. ARK Investment Management LLC now owns 2,156,012 shares of the company’s stock valued at $14,876,000 after purchasing an additional 34,894 shares in the last quarter. 46.19% of the stock is currently owned by institutional investors and hedge funds.

Compass Pathways News Summary

Here are the key news stories impacting Compass Pathways this week:

• Positive Sentiment: HC Wainwright reiterated a “Buy” rating with a $70 price target and published quarterly EPS estimates for 2027 (Q1 -$0.42, Q2 -$0.27, Q3 -$0.18, Q4 -$0.08), signaling strong analyst conviction that value will increase despite near-term losses. Read More.
• Neutral Sentiment: Media coverage discusses the upcoming FDA review meeting for COMP360 (Compass’s psilocybin therapy candidate). The meeting outcome is uncertain — it could be a major catalyst if favorable, or introduce volatility if concerns are raised. Read More.
• Negative Sentiment: Canaccord cut its price target from $20 to $18 (still a “Buy”), a downgrade in expectations that may weigh on sentiment despite the maintained rating. Read More.
• Negative Sentiment: Morgan Stanley lowered its target from $18 to $16 but kept an “Overweight” rating; another target trim that may pressure short-term sentiment even though the firm remains constructive. Read More. Read More.

About Compass Pathways

Compass Pathways (NASDAQ: CMPS) is a clinical-stage biotechnology company focused on the development and commercialization of psilocybin therapy for mental health disorders. Founded in 2016 and headquartered in London with additional offices in the United States, Compass Pathways is pioneering the use of synthetic psilocybin combined with psychotherapy to address treatment-resistant depression. The company’s flagship program is a Phase IIb clinical trial evaluating COMP360, its proprietary psilocybin formulation, which has received Breakthrough Therapy designation from the U.S.