Stock Markets

Needham maintains Buy on Personalis with $3.50 target

Published

4 months ago

June 22, 2024

On Friday, Needham reaffirmed its Buy rating on Personalis Inc (NASDAQ:), maintaining a price target of $3.50. The endorsement follows a webinar hosted by Personalis, which showcased two separate studies presented at the American Society for Clinical Oncology (ASCO) 2024 Annual Meeting. The studies highlighted the efficacy of the NeXT Personal Minimal Residual Disease (MRD) assay in providing prognostic predictions and detecting early signs of relapse in breast cancer.

The NeXT Personal MRD assay was shown to offer significant advantages over both radiologic imaging and competing MRD assays in early-stage breast cancer. It demonstrated an ability to give a considerable lead time in the detection of cancer relapse. Furthermore, the assay’s limit of detection was around 3.5 parts per million, and it successfully detected circulating tumor DNA (ctDNA) in 98% of the samples.

In addition to its application in breast cancer, the NeXT Personal assay was also presented as a monitoring tool for immunotherapy in metastatic cancers. The data indicated that the assay could prognosticate molecular responses to immunotherapy treatments, again with a significant lead time when compared to imaging techniques.

The promising results from these studies are seen as a positive development for Personalis. The company has plans to seek Medicare reimbursement for the use of NeXT Personal in early-stage breast and lung cancers, as well as in immunotherapy monitoring, within the year 2024. The potential for Medicare reimbursement is perceived as a key factor in the analyst’s continued support for the stock at the set price target.

In other recent news, Personalis, Inc. reported a significant first quarter in 2024, with revenues reaching $19.5 million, exceeding their own expectations. The company has seen a 55% year-over-year growth in its biopharma business. Personalis is aiming for a revenue target of $100 million by 2025, bolstered by a partnership with Tempus to commercialize NeXT Personal Dx.

These recent developments also include an anticipated launch with Tempus this quarter and an expansion of its early access program. The company is engaged with top biopharma companies, including Moderna (NASDAQ:), and is building a strong intellectual property position with new patents.

However, Personalis has expressed caution regarding their 330 MRD test due to reimbursement concerns. The timeline for article submission and acceptance by collaborators is also uncertain, potentially impacting reimbursement applications. Despite these challenges, Personalis remains optimistic about the future, with plans to secure reimbursement approval for three or four indications this year.

InvestingPro Insights

As Personalis Inc (NASDAQ:PSNL) garners attention for its innovative NeXT Personal MRD assay, insights from InvestingPro underscore some financial metrics that investors may find pertinent. With a market cap of $65.7 million, Personalis is a smaller player in the biotech industry, yet it holds a noteworthy cash position relative to its debt, providing some financial stability. The company’s revenue for the last twelve months as of Q1 2024 stands at $74.15 million, reflecting a growth of nearly 8%. This growth, however, has not translated into profitability, as the company’s operating income margin was notably negative at -120.35% for the same period.

InvestingPro Tips highlight that while analysts have revised earnings upwards for the upcoming period, suggesting optimism, the company is rapidly burning through cash and the stock has experienced significant volatility and a substantial price decline over the last week and month. Additionally, the valuation multiple is low, which may attract investors looking for undervalued opportunities. It’s worth noting that Personalis does not pay a dividend, which may influence the investment decisions of income-focused shareholders.

For investors intrigued by Personalis’ scientific advancements and considering its financial outlook, further InvestingPro Tips are available, which can be accessed through the company-specific page on Investing.com. Interested readers can use coupon code PRONEWS24 to receive an additional 10% off a yearly or biyearly Pro and Pro+ subscription, where they can explore over ten additional tips to inform their investment strategy.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

Stock Markets

Billionaire hedge fund manager Loeb shifts portfolio, eyes possible Republican U.S. election wins

Published

3 hours ago

October 18, 2024

By Svea Herbst-Bayliss

NEW YORK (Reuters) – Billionaire investor Daniel Loeb adjusted his portfolio to capture a potential boom in corporate activity after the Nov. 5 U.S. election where he expects the Republican Party will chalk up wins.

Loeb believes the Republican presidential candidate, Donald Trump, is more likely to win the White House and that his party’s policies could help boost financial markets.

“The likelihood of a Republican victory in the White House has increased, which would have a positive impact on certain sectors and the market overall,” Loeb wrote to investors in his hedge fund Third Point on Thursday. Reuters obtained a copy of the letter.

Third Point has made stock and option purchases and increased positions that “could benefit from such a scenario” while also shifting the “portfolio away from companies that will not,” the letter said. He did not elaborate on what trades the firm has been making.

A Reuters/Ipsos poll this week found that Democratic Vice President Kamala Harris held a marginal lead of three percentage points over Trump as the two stayed locked in a tight race.

Even if Trump loses, Loeb expects the Republican Party will establish a majority in the U.S. Senate which he expects can limit the “economic downside of a “Blue Sweep” by the Democratic party.

Many large investors have expressed concern about the Democrats’ economic and fiscal proposals and Loeb wrote that the party’s plans could result in “crushing taxes,” and “stifling regulations” that could hurt growth.

Wall Street has long held out for a rebound in mergers and acquisitions activity and Loeb wrote that fewer regulations and the elimination of the current administration’s “activist antitrust stance” will “unleash productivity and a wave of corporate activity.”

Since January, Loeb’s flagship fund has returned roughly 14% with the broader stock market index gaining about 23.6%.

Turning to the broader economy, Loeb said that interest rates still need to come down, at a time there is no evidence of a looming recession and as inflation is slowing.

But he also thinks markets should remain underpinned by healthy consumer spending and active levels of individual investing.

Stock Markets

NYMTM stock hits 52-week high at $24.55 amid market rally

Published

3 hours ago

October 18, 2024

In a robust display of market confidence, New York Mortgage (NASDAQ:) Trust Inc Preferred (NYMTM) stock has soared to a 52-week high, reaching a price level of $24.55. This milestone underscores a significant period of growth for the company, which has witnessed an impressive 1-year change with an increase of 13.71%. Investors have shown increased interest in NYMTM, rallying behind the stock as it climbs to new heights, reflecting a strong performance in the face of market dynamics. The 52-week high serves as a testament to the company’s resilience and the positive sentiment surrounding its financial prospects.

InvestingPro Insights

New York Mortgage Trust Inc Preferred (NYMTM) has reached a significant milestone with its stock price hitting a 52-week high. This achievement is particularly noteworthy given the company’s current financial landscape. According to InvestingPro data, NYMTM boasts a substantial dividend yield of 8.07%, which aligns with one of the InvestingPro Tips highlighting that the company “pays a significant dividend to shareholders.” This attractive yield may be a key factor driving investor interest and contributing to the stock’s recent performance.

Despite the stock’s strong showing, it’s important to note that NYMTM faces some challenges. The company’s revenue for the last twelve months stands at $151.99 million, with a concerning operating income margin of -32.06%. This negative margin correlates with another InvestingPro Tip indicating that “analysts do not anticipate the company will be profitable this year.”

For investors seeking a more comprehensive analysis, InvestingPro offers 7 additional tips that could provide valuable insights into NYMTM’s financial health and future prospects. These additional tips could be particularly useful for understanding the stock’s potential trajectory beyond its current 52-week high.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

Stock Markets

Isabella Bank Corp director Jill Bourland acquires shares worth $199

Published

3 hours ago

October 18, 2024

In a recent transaction, Jill Bourland, a director at Isabella Bank Corp (OTC:ISBA), acquired additional shares of the company’s common stock. The transaction, dated October 16, 2024, involved the purchase of 9.5238 shares at a price of $21 per share, totaling approximately $199.

Following this acquisition, Bourland’s total direct ownership in Isabella Bank increased to 4,872.5363 shares. This figure includes shares acquired through the company’s quarterly dividend reinvestment program, as noted in the filing.

Isabella Bank Corp, headquartered in Mount Pleasant, Michigan, operates as a state commercial bank. The bank continues to focus on providing financial services to its local community and beyond.

In other recent news, Isabella Bank Corp revealed a potential loss of around $1.6 million due to negative balances in deposit accounts linked to a single customer. The total exposure to this customer, including loans and lines of credit, amounts to $4.0 million. Piper Sandler maintained a Neutral rating on the bank’s shares following this disclosure. The bank also declared a third-quarter cash dividend of $0.28 per common share. In addition, Piper Sandler raised its price target for Isabella Bank from $20.00 to $22.00 and increased its earnings per share estimates for 2024 and 2025 to $1.80 and $2.10, respectively. These recent developments underscore the bank’s commitment to enhancing shareholder value and its resilience in navigating challenging situations.

InvestingPro Insights

As Jill Bourland increases her stake in Isabella Bank Corp (OTC:ISBA), investors may find additional context in the company’s financial metrics and market performance. According to InvestingPro data, Isabella Bank currently boasts a market capitalization of $158.11 million and trades at a price-to-earnings ratio of 9.81, suggesting a potentially attractive valuation relative to earnings.

The bank’s dividend policy stands out as a key strength. An InvestingPro Tip highlights that Isabella Bank has maintained dividend payments for 17 consecutive years, demonstrating a commitment to shareholder returns. This is further supported by the current dividend yield of 5.27%, which may be particularly appealing to income-focused investors in the current market environment.

Despite a challenging economic backdrop, Isabella Bank remains profitable, with an operating income margin of 26.1% for the last twelve months as of Q2 2024. However, another InvestingPro Tip indicates that net income is expected to drop this year, which investors should monitor closely.

It’s worth noting that Isabella Bank’s stock is trading near its 52-week high, with the current price at 95.51% of that peak. This performance aligns with the company’s recent positive price returns, including a 20.91% total return over the past six months.

For investors seeking a deeper understanding of Isabella Bank’s financial health and market position, InvestingPro offers additional insights with over 10 more tips available for this stock.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.