Wedbush Reaffirms Outperform Rating for Scholar Rock (NASDAQ:SRRK)

Scholar Rock (NASDAQ:SRRK)‘s stock had its “outperform” rating reiterated by research analysts at Wedbush in a report issued on Tuesday,Benzinga reports. They currently have a $58.00 target price on the stock. Wedbush’s target price indicates a potential upside of 20.08% from the company’s previous close.

Other research analysts have also recently issued research reports about the company. HC Wainwright lifted their target price on Scholar Rock from $58.00 to $65.00 and gave the company a “buy” rating in a report on Friday, May 8th. Barclays raised their price objective on Scholar Rock from $53.00 to $55.00 and gave the stock an “overweight” rating in a report on Friday, May 8th. Canaccord Genuity Group assumed coverage on Scholar Rock in a report on Monday, April 20th. They set a “buy” rating and a $62.00 target price for the company. Weiss Ratings reissued a “sell (d-)” rating on shares of Scholar Rock in a research report on Friday, July 17th. Finally, Cantor Fitzgerald restated an “overweight” rating on shares of Scholar Rock in a report on Thursday, June 18th. Four investment analysts have rated the stock with a Strong Buy rating, twelve have assigned a Buy rating and one has issued a Sell rating to the stock. Based on data from MarketBeat, the stock has an average rating of “Buy” and a consensus target price of $56.00.

Scholar Rock Stock Performance

NASDAQ:SRRK opened at $48.30 on Tuesday. The company has a market cap of $5.79 billion, a P/E ratio of -13.45 and a beta of 0.67. The firm’s 50 day moving average is $50.09 and its two-hundred day moving average is $47.43. Scholar Rock has a fifty-two week low of $27.07 and a fifty-two week high of $58.49. The company has a quick ratio of 8.64, a current ratio of 8.64 and a debt-to-equity ratio of 0.71.

Scholar Rock (NASDAQ:SRRK) last announced its quarterly earnings data on Thursday, May 7th. The company reported ($0.83) earnings per share (EPS) for the quarter, missing the consensus estimate of ($0.82) by ($0.01). During the same quarter in the prior year, the firm earned ($0.67) EPS. Analysts expect that Scholar Rock will post -3.23 EPS for the current year.

Insider Buying and Selling

In other news, Director Joshua Reed sold 3,053 shares of the company’s stock in a transaction dated Wednesday, July 1st. The stock was sold at an average price of $53.74, for a total value of $164,068.22. Following the completion of the sale, the director owned 19,518 shares of the company’s stock, valued at $1,048,897.32. This represents a 13.53% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, Director Jeffrey S. Flier sold 3,053 shares of the company’s stock in a transaction that occurred on Wednesday, July 1st. The stock was sold at an average price of $53.88, for a total value of $164,495.64. Following the completion of the transaction, the director owned 27,856 shares of the company’s stock, valued at approximately $1,500,881.28. This represents a 9.88% decrease in their position. The SEC filing for this sale provides additional information. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Insiders sold a total of 17,149 shares of company stock valued at $923,108 over the last ninety days. Insiders own 10.30% of the company’s stock.

Hedge Funds Weigh In On Scholar Rock

Institutional investors and hedge funds have recently added to or reduced their stakes in the company. IFP Advisors Inc increased its position in shares of Scholar Rock by 294.1% during the fourth quarter. IFP Advisors Inc now owns 603 shares of the company’s stock worth $27,000 after acquiring an additional 450 shares during the last quarter. Caitong International Asset Management Co. Ltd purchased a new position in Scholar Rock in the fourth quarter valued at about $30,000. Summit Securities Group LLC acquired a new stake in Scholar Rock during the 4th quarter valued at approximately $31,000. EverSource Wealth Advisors LLC raised its position in shares of Scholar Rock by 151.3% in the 4th quarter. EverSource Wealth Advisors LLC now owns 872 shares of the company’s stock valued at $38,000 after purchasing an additional 525 shares in the last quarter. Finally, Hilton Head Capital Partners LLC acquired a new position in shares of Scholar Rock in the 4th quarter valued at approximately $44,000. 91.08% of the stock is owned by hedge funds and other institutional investors.

About Scholar Rock

Scholar Rock is a clinical-stage biotechnology company focused on the discovery and development of protein therapeutics that selectively target growth factors involved in disease processes. The company’s research platform is designed to modulate endogenous growth factor activation and signaling with high specificity, aiming to restore normal biological function across a range of disorders. Scholar Rock’s approach is distinguished by its emphasis on engineering antibodies and biologics that interact with growth factor precursors or latent complexes rather than the active form, potentially offering improved safety and efficacy profiles.

The company’s lead program, SRK-015 (appercept), is an investigational monoclonal antibody targeting the activation of latent myostatin proproteins and is being evaluated for the treatment of spinal muscular atrophy (SMA).