ADC Therapeutics (NYSE:ADCT) Downgraded to “Sell” Rating by Wall Street Zen

ADC Therapeutics (NYSE:ADCT) was downgraded by Wall Street Zen from a “hold” rating to a “sell” rating in a research report issued to clients and investors on Saturday.

Several other equities analysts have also recently issued reports on ADCT. Weiss Ratings reissued a “sell (d-)” rating on shares of ADC Therapeutics in a report on Monday, April 20th. Royal Bank Of Canada lowered ADC Therapeutics from an “outperform” rating to a “sector perform” rating and cut their price target for the company from $6.00 to $2.00 in a research note on Thursday. HC Wainwright restated a “buy” rating and issued a $8.00 price target on shares of ADC Therapeutics in a research note on Tuesday, May 5th. Stephens restated an “overweight” rating and issued a $5.00 price target on shares of ADC Therapeutics in a research note on Thursday. Finally, Cantor Fitzgerald restated an “overweight” rating on shares of ADC Therapeutics in a research note on Thursday. Four research analysts have rated the stock with a Buy rating, one has given a Hold rating and one has issued a Sell rating to the stock. According to MarketBeat.com, the stock currently has an average rating of “Moderate Buy” and a consensus price target of $6.25.

ADC Therapeutics Stock Down 22.3%

Shares of ADCT stock opened at $1.03 on Friday. The stock has a market cap of $130.37 million, a PE ratio of -0.98 and a beta of 1.77. The business has a 50-day simple moving average of $3.58 and a 200-day simple moving average of $3.80. ADC Therapeutics has a 52-week low of $1.01 and a 52-week high of $4.98.

ADC Therapeutics (NYSE:ADCT) last issued its quarterly earnings data on Tuesday, May 5th. The company reported ($0.21) earnings per share (EPS) for the quarter, missing the consensus estimate of ($0.19) by ($0.02). The firm had revenue of $20.85 million during the quarter, compared to analyst estimates of $19.99 million. During the same period in the previous year, the business posted ($0.36) earnings per share. Sell-side analysts anticipate that ADC Therapeutics will post -0.88 earnings per share for the current fiscal year.

Insider Buying and Selling

In related news, major shareholder Redmile Group, Llc sold 2,634,506 shares of the company’s stock in a transaction that occurred on Thursday, April 2nd. The stock was sold at an average price of $3.28, for a total value of $8,641,179.68. Following the transaction, the insider directly owned 12,666,731 shares in the company, valued at approximately $41,546,877.68. This represents a 17.22% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is accessible through this link. Insiders sold 5,880,415 shares of company stock valued at $19,641,067 in the last 90 days. Corporate insiders own 5.40% of the company’s stock.

Institutional Inflows and Outflows

A number of large investors have recently added to or reduced their stakes in ADCT. AQR Capital Management LLC lifted its holdings in ADC Therapeutics by 411.1% in the first quarter. AQR Capital Management LLC now owns 201,170 shares of the company’s stock valued at $284,000 after acquiring an additional 161,808 shares during the last quarter. Creative Planning acquired a new position in ADC Therapeutics in the second quarter valued at approximately $96,000. Nantahala Capital Management LLC acquired a new position in ADC Therapeutics in the second quarter valued at approximately $6,074,000. Bank of America Corp DE lifted its holdings in ADC Therapeutics by 22.1% in the second quarter. Bank of America Corp DE now owns 2,199,059 shares of the company’s stock valued at $5,893,000 after acquiring an additional 397,905 shares during the last quarter. Finally, Corient Private Wealth LLC acquired a new position in ADC Therapeutics in the second quarter valued at approximately $959,000. 41.10% of the stock is currently owned by institutional investors and hedge funds.

ADC Therapeutics Company Profile

ADC Therapeutics SA is a clinical-stage biopharmaceutical company focused on the discovery and development of highly targeted antibody-drug conjugates (ADCs) designed to treat hematological malignancies such as non-Hodgkin lymphoma and acute myeloid leukemia. By marrying the specificity of monoclonal antibodies with potent cytotoxic payloads, the company aims to maximize tumor cell eradication while limiting off-target toxicity.

At the core of ADC Therapeutics’ portfolio is loncastuximab tesirine-lpyl, a CD19-directed ADC that received accelerated approval from the U.S.