Zacks Investment Research Downgrades Cytokinetics (NASDAQ:CYTK) to Sell

Zacks Investment Research cut shares of Cytokinetics (NASDAQ:CYTK) from a hold rating to a sell rating in a research note issued to investors on Tuesday, Zacks.com reports.

According to Zacks, “Cytokinetics is a late-stage biopharmaceutical company focused on discovering, developing and commercializing first-in-class muscle activators as potential treatments for debilitating diseases in which muscle performance is compromised and/or deteriorating. With an unmatched understanding of muscle biology and mechanics of muscle performance, the company is developing small molecule drug candidates engineered to increase muscle function and contractility. Cytokinetics’ lead drug candidate is tirasemtiv, a fast skeletal muscle activator, for the potential treatment of ALS. Tirasemtiv has been granted orphan drug designation and fast track status by the FDA and orphan medicinal product designation by the EMA. Cytokinetics is collaborating with Amgen Inc. to develop omecamtiv mecarbil, a novel cardiac muscle activator, for the potential treatment of heart failure, and with Astellas Pharma Inc. to develop CK-2127107, a fast skeletal muscle activator, for the potential treatment of spinal muscular atrophy. “

A number of other brokerages have also recently commented on CYTK. Piper Jaffray Companies lifted their price objective on shares of Cytokinetics from $12.00 to $13.00 and gave the stock an overweight rating in a research note on Wednesday, March 20th. ValuEngine cut shares of Yext from a strong-buy rating to a buy rating in a research note on Friday, May 10th. BidaskClub cut shares of Waterstone Financial from a hold rating to a sell rating in a research note on Friday, June 21st. HC Wainwright lifted their price objective on shares of Cytokinetics from $21.00 to $26.00 and gave the stock a buy rating in a research note on Monday, May 6th. Finally, Cantor Fitzgerald set a $8.00 price objective on shares of BioDelivery Sciences International and gave the stock a buy rating in a research note on Friday, May 10th. One equities research analyst has rated the stock with a sell rating, two have issued a hold rating, three have assigned a buy rating and one has given a strong buy rating to the company’s stock. The company currently has a consensus rating of Buy and an average target price of $14.60.

CYTK opened at $11.03 on Tuesday. The company’s fifty day moving average is $10.55. Cytokinetics has a fifty-two week low of $5.75 and a fifty-two week high of $11.58. The company has a debt-to-equity ratio of 12.35, a current ratio of 7.09 and a quick ratio of 7.09.

Cytokinetics (NASDAQ:CYTK) last posted its earnings results on Thursday, May 9th. The biopharmaceutical company reported ($0.54) earnings per share for the quarter, missing the Thomson Reuters’ consensus estimate of ($0.47) by ($0.07). The company had revenue of $8.46 million for the quarter, compared to analysts’ expectations of $6.21 million. Cytokinetics had a negative net margin of 303.70% and a negative return on equity of 269.27%. As a group, research analysts predict that Cytokinetics will post -1.85 EPS for the current year.

In other Cytokinetics news, CEO Robert I. Blum sold 6,000 shares of Cytokinetics stock in a transaction on Monday, June 17th. The shares were sold at an average price of $9.71, for a total value of $58,260.00. Following the completion of the transaction, the chief executive officer now directly owns 262,022 shares of the company’s stock, valued at approximately $2,544,233.62. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this link. Insiders sold a total of 10,500 shares of company stock valued at $103,050 over the last three months. Corporate insiders own 5.70% of the company’s stock.

Several large investors have recently modified their holdings of the business. Bank of Montreal Can boosted its stake in shares of Cytokinetics by 109.5% during the 1st quarter. Bank of Montreal Can now owns 3,321 shares of the biopharmaceutical company’s stock worth $27,000 after purchasing an additional 1,736 shares during the period. Neuburgh Advisers LLC boosted its stake in shares of Cytokinetics by 55.6% during the 4th quarter. Neuburgh Advisers LLC now owns 6,776 shares of the biopharmaceutical company’s stock worth $43,000 after purchasing an additional 2,420 shares during the period. BNP Paribas Arbitrage SA boosted its stake in shares of Cytokinetics by 59,718.8% during the 1st quarter. BNP Paribas Arbitrage SA now owns 9,571 shares of the biopharmaceutical company’s stock worth $77,000 after purchasing an additional 9,555 shares during the period. Flinton Capital Management LLC boosted its stake in shares of Cytokinetics by 55.6% during the 4th quarter. Flinton Capital Management LLC now owns 10,472 shares of the biopharmaceutical company’s stock worth $66,000 after purchasing an additional 3,740 shares during the period. Finally, Squarepoint Ops LLC boosted its stake in shares of Cytokinetics by 14.2% during the 4th quarter. Squarepoint Ops LLC now owns 11,600 shares of the biopharmaceutical company’s stock worth $73,000 after purchasing an additional 1,438 shares during the period. 69.29% of the stock is owned by institutional investors and hedge funds.

Cytokinetics Company Profile

Cytokinetics, Incorporated, a late-stage biopharmaceutical company, focuses on discovering, developing, and commercializing muscle activators and inhibitors as potential treatments for debilitating diseases in which muscle performance is compromised and/or declining. The company is developing small molecule drug candidates primarily engineered to increase muscle function and contractility.

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