89bio (NASDAQ:ETNB) Trading Down 9.1% – Should You Sell?

89bio, Inc. (NASDAQ:ETNB)’s share price dropped 9.1% during trading on Tuesday . The stock traded as low as $9.13 and last traded at $9.21. Approximately 1,131,586 shares changed hands during trading, a decline of 58% from the average daily volume of 2,677,360 shares. The stock had previously closed at $10.13.

Analysts Set New Price Targets

A number of brokerages have recently commented on ETNB. Weiss Ratings restated a “sell (d-)” rating on shares of 89bio in a report on Wednesday, February 19th. Cantor Fitzgerald reissued an “overweight” rating and set a $29.00 price objective on shares of 89bio in a research note on Thursday, January 2nd. UBS Group raised their target price on shares of 89bio from $25.00 to $38.00 and gave the company a “buy” rating in a research note on Friday, January 31st. Wolfe Research started coverage on 89bio in a research report on Tuesday, February 4th. They issued an “outperform” rating on the stock. Finally, Raymond James raised 89bio to a “strong-buy” rating in a research report on Thursday, December 12th. Two investment analysts have rated the stock with a hold rating, six have assigned a buy rating and one has assigned a strong buy rating to the company. According to data from MarketBeat.com, the company currently has an average rating of “Moderate Buy” and an average price target of $31.43.

89bio Stock Performance

The company has a market capitalization of $966.38 million, a PE ratio of -3.13 and a beta of 1.17. The company has a current ratio of 11.66, a quick ratio of 11.66 and a debt-to-equity ratio of 0.09. The business’s fifty day moving average is $8.62 and its two-hundred day moving average is $8.44.

Insider Transactions at 89bio

In related news, Director Ra Capital Management, L.P. acquired 5,714,285 shares of the firm’s stock in a transaction dated Thursday, January 30th. The stock was purchased at an average cost of $8.75 per share, with a total value of $49,999,993.75. Following the completion of the acquisition, the director now directly owns 19,554,319 shares of the company’s stock, valued at approximately $171,100,291.25. This trade represents a 41.29 % increase in their ownership of the stock. The acquisition was disclosed in a document filed with the SEC, which is accessible through the SEC website. Also, CEO Rohan Palekar acquired 5,000 shares of the stock in a transaction that occurred on Friday, December 6th. The shares were bought at an average price of $7.89 per share, for a total transaction of $39,450.00. Following the transaction, the chief executive officer now owns 471,236 shares of the company’s stock, valued at $3,718,052.04. This trade represents a 1.07 % increase in their ownership of the stock. The disclosure for this purchase can be found here. Insiders acquired 5,734,285 shares of company stock worth $50,152,194 over the last quarter. 2.80% of the stock is currently owned by insiders.

Institutional Trading of 89bio

Several large investors have recently modified their holdings of the company. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC boosted its position in 89bio by 26.7% in the fourth quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC now owns 178,691 shares of the company’s stock worth $1,397,000 after purchasing an additional 37,693 shares during the last quarter. Woodline Partners LP grew its position in 89bio by 640.1% during the fourth quarter. Woodline Partners LP now owns 394,826 shares of the company’s stock valued at $3,088,000 after buying an additional 341,479 shares during the period. Stempoint Capital LP purchased a new stake in 89bio during the fourth quarter valued at approximately $4,268,000. Suvretta Capital Management LLC raised its position in 89bio by 27.7% in the fourth quarter. Suvretta Capital Management LLC now owns 10,202,696 shares of the company’s stock worth $79,785,000 after acquiring an additional 2,211,052 shares during the period. Finally, Sandia Investment Management LP boosted its stake in shares of 89bio by 28.5% during the 4th quarter. Sandia Investment Management LP now owns 11,286 shares of the company’s stock worth $88,000 after acquiring an additional 2,500 shares during the last quarter.

89bio Company Profile

89bio, Inc, a clinical-stage biopharmaceutical company, focuses on the development and commercialization of therapies for the treatment of liver and cardio-metabolic diseases. Its lead product candidate is pegozafermin, a glycoPEGylated analog of fibroblast growth factor 21 for the treatment of nonalcoholic steatohepatitis; and for the treatment of severe hypertriglyceridemia.