Exelixis (NASDAQ:EXEL) Shares Gap Down on Disappointing Earnings

Shares of Exelixis, Inc. (NASDAQ:EXEL) gapped down prior to trading on Wednesday after the company announced weaker than expected quarterly earnings. The stock had previously closed at $23.46, but opened at $21.64. Exelixis shares last traded at $21.17, with a volume of 911,024 shares trading hands.

The biotechnology company reported $0.12 earnings per share for the quarter, missing analysts’ consensus estimates of $0.28 by ($0.16). Exelixis had a return on equity of 8.57% and a net margin of 11.35%. The firm had revenue of $425.23 million during the quarter, compared to the consensus estimate of $461.04 million. During the same quarter in the previous year, the company earned $0.12 earnings per share. The business’s revenue for the quarter was up 4.0% compared to the same quarter last year.

Analysts Set New Price Targets

EXEL has been the topic of several research analyst reports. Barclays downgraded shares of Exelixis from an “overweight” rating to an “equal weight” rating and set a $25.00 target price on the stock. in a report on Thursday, April 11th. William Blair reaffirmed an “outperform” rating on shares of Exelixis in a research note on Wednesday. JMP Securities reaffirmed a “market outperform” rating and set a $27.00 price target on shares of Exelixis in a research note on Wednesday, April 10th. Stifel Nicolaus upped their price target on shares of Exelixis from $23.00 to $25.00 and gave the company a “hold” rating in a research note on Friday, February 2nd. Finally, TheStreet raised shares of Exelixis from a “c+” rating to a “b-” rating in a research note on Monday, March 18th. Six research analysts have rated the stock with a hold rating, nine have issued a buy rating and one has given a strong buy rating to the company’s stock. Based on data from MarketBeat, Exelixis currently has an average rating of “Moderate Buy” and an average price target of $26.29.

Insider Activity

In other news, EVP Patrick J. Haley sold 47,020 shares of the firm’s stock in a transaction dated Friday, February 23rd. The shares were sold at an average price of $21.45, for a total value of $1,008,579.00. Following the sale, the executive vice president now directly owns 384,866 shares in the company, valued at approximately $8,255,375.70. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. In related news, Director David Edward Johnson acquired 190,000 shares of the firm’s stock in a transaction that occurred on Wednesday, February 21st. The stock was purchased at an average cost of $20.70 per share, with a total value of $3,933,000.00. Following the transaction, the director now directly owns 1,100,730 shares of the company’s stock, valued at approximately $22,785,111. The purchase was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, EVP Patrick J. Haley sold 47,020 shares of the stock in a transaction that occurred on Friday, February 23rd. The shares were sold at an average price of $21.45, for a total transaction of $1,008,579.00. Following the completion of the transaction, the executive vice president now directly owns 384,866 shares of the company’s stock, valued at $8,255,375.70. The disclosure for this sale can be found here. Company insiders own 2.85% of the company’s stock.

Hedge Funds Weigh In On Exelixis

Several hedge funds and other institutional investors have recently modified their holdings of EXEL. Fisher Asset Management LLC grew its stake in shares of Exelixis by 232.6% during the 4th quarter. Fisher Asset Management LLC now owns 1,041 shares of the biotechnology company’s stock worth $25,000 after purchasing an additional 728 shares during the period. Contravisory Investment Management Inc. acquired a new stake in shares of Exelixis during the 4th quarter worth approximately $26,000. GAMMA Investing LLC acquired a new stake in shares of Exelixis during the 4th quarter worth approximately $27,000. Rise Advisors LLC acquired a new stake in shares of Exelixis during the 1st quarter worth approximately $28,000. Finally, Fifth Third Bancorp grew its stake in Exelixis by 44.2% in the 3rd quarter. Fifth Third Bancorp now owns 1,970 shares of the biotechnology company’s stock valued at $43,000 after acquiring an additional 604 shares during the period. 85.27% of the stock is owned by hedge funds and other institutional investors.

Exelixis Stock Performance

The business’s 50 day moving average is $22.86 and its 200-day moving average is $22.21. The stock has a market cap of $6.31 billion, a price-to-earnings ratio of 33.30, a PEG ratio of 0.62 and a beta of 0.54.

About Exelixis

Exelixis, Inc, an oncology company, focuses on the discovery, development, and commercialization of new medicines for difficult-to-treat cancers in the United States. The company offers CABOMETYX tablets for the treatment of patients with advanced renal cell carcinoma who received prior anti-angiogenic therapy; and COMETRIQ capsules for the treatment of progressive and metastatic medullary thyroid cancer.