Summit Therapeutics (NASDAQ:SMMT) Sees Large Volume Increase – Still a Buy?

Summit Therapeutics PLC (NASDAQ:SMMT) saw unusually-high trading volume on Wednesday . Approximately 4,059,113 shares changed hands during mid-day trading, a decline of 1% from the previous session’s volume of 4,117,148 shares.The stock last traded at $14.6290 and had previously closed at $13.36.

Key Summit Therapeutics News

Here are the key news stories impacting Summit Therapeutics this week:

• Positive Sentiment: Positive Phase III biliary tract cancer results: In the HARMONi-GI1 study, ivonescimab delivered an overall-survival benefit and outperformed AstraZeneca’s Imfinzi in Chinese biliary tract cancer patients. The result broadens the drug’s potential market and is the primary catalyst behind recent strength in SMMT shares. SMMT Rises on Akeso’s Win in Phase III Biliary Tract Cancer Study
• Positive Sentiment: Pipeline validation: The HARMONi-GI1 findings add to earlier positive ivonescimab data in NSCLC and support Summit’s strategy of developing the Akeso-partnered therapy across multiple cancer indications. The Phase III HARMONi results were also published in The Lancet Oncology, providing additional visibility and credibility. Ivonescimab beats Imfinzi in Chinese biliary tract cancer trial Summit Therapeutics Published Phase III HARMONi Results In The Lancet Oncology
• Positive Sentiment: More favorable analyst view: A Seeking Alpha analysis upgraded Summit to Buy, citing improving sentiment and upcoming global clinical and regulatory catalysts, including pivotal data and potential FDA decisions. Summit Therapeutics: Signals Of Moving Past Lung Cancer
• Neutral Sentiment: Mixed analyst signals: HC Wainwright reaffirmed its Neutral rating, indicating that the promising clinical data have not yet eliminated uncertainty around commercialization, regulatory approval and valuation.
• Negative Sentiment: Cash-burn and execution concerns: Summit remains loss-making, and its substantial operating expenses and aggressive pipeline expansion could leave liquidity covering only several quarters. Investors may therefore remain cautious until additional global trial and regulatory milestones are achieved. Summit Therapeutics: Signals Of Moving Past Lung Cancer

Analyst Upgrades and Downgrades

SMMT has been the topic of several recent analyst reports. Wall Street Zen downgraded shares of Summit Therapeutics from a “hold” rating to a “sell” rating in a research report on Saturday, July 18th. Summit Redstone set a $11.90 target price on shares of Summit Therapeutics in a research report on Tuesday. Jefferies Financial Group set a $15.00 target price on shares of Summit Therapeutics in a research note on Friday, July 24th. Stifel Nicolaus reduced their price target on shares of Summit Therapeutics from $45.00 to $38.00 and set a “buy” rating on the stock in a research report on Friday, July 24th. Finally, Leerink Partners raised shares of Summit Therapeutics from an “underperform” rating to a “market perform” rating and increased their price target for the stock from $12.00 to $13.00 in a research note on Wednesday, August 12th. One research analyst has rated the stock with a Strong Buy rating, six have given a Buy rating, eight have issued a Hold rating and one has assigned a Sell rating to the company. Based on data from MarketBeat.com, Summit Therapeutics currently has a consensus rating of “Hold” and an average target price of $24.07.

Summit Therapeutics Price Performance

The company has a market capitalization of $11.43 billion, a PE ratio of -12.79 and a beta of -1.23. The company has a 50 day moving average of $14.12 and a two-hundred day moving average of $16.17.

Summit Therapeutics (NASDAQ:SMMT) last announced its quarterly earnings data on Thursday, July 23rd. The company reported ($0.28) EPS for the quarter, missing the consensus estimate of ($0.27) by ($0.01). On average, equities analysts anticipate that Summit Therapeutics PLC will post -1.2 EPS for the current year.

Insider Activity at Summit Therapeutics

In other Summit Therapeutics news, CEO Mahkam Zanganeh purchased 3,810,000 shares of the stock in a transaction that occurred on Friday, June 12th. The stock was bought at an average cost of $13.12 per share, with a total value of $49,987,200.00. Following the transaction, the chief executive officer directly owned 573,883,879 shares in the company, valued at approximately $7,529,356,492.48. The trade was a 0.67% increase in their position. The transaction was disclosed in a legal filing with the SEC, which can be accessed through the SEC website. Also, CFO Manmeet Singh Soni acquired 50,000 shares of the company’s stock in a transaction that occurred on Thursday, June 4th. The shares were acquired at an average cost of $14.45 per share, for a total transaction of $722,500.00. Following the purchase, the chief financial officer directly owned 3,123,603 shares of the company’s stock, valued at $45,136,063.35. This represents a 1.63% increase in their ownership of the stock. The SEC filing for this purchase provides additional information. Insiders acquired a total of 7,870,000 shares of company stock valued at $103,616,900 in the last three months. Company insiders own 83.50% of the company’s stock.

Institutional Trading of Summit Therapeutics

A number of hedge funds have recently made changes to their positions in the stock. Baker BROS. Advisors LP increased its position in Summit Therapeutics by 7.9% during the 4th quarter. Baker BROS. Advisors LP now owns 36,391,063 shares of the company’s stock valued at $636,480,000 after buying an additional 2,668,089 shares in the last quarter. TD Asset Management Inc boosted its stake in Summit Therapeutics by 124.2% in the 4th quarter. TD Asset Management Inc now owns 1,205,272 shares of the company’s stock worth $21,080,000 after purchasing an additional 667,742 shares in the last quarter. Polymer Capital Management HK LTD boosted its stake in Summit Therapeutics by 73.9% in the 4th quarter. Polymer Capital Management HK LTD now owns 1,421,155 shares of the company’s stock worth $24,856,000 after purchasing an additional 603,879 shares in the last quarter. Y Intercept Hong Kong Ltd purchased a new stake in Summit Therapeutics during the 1st quarter valued at about $2,269,000. Finally, Norges Bank purchased a new stake in Summit Therapeutics during the 4th quarter valued at about $24,030,000. 4.61% of the stock is owned by institutional investors.

About Summit Therapeutics

Summit Therapeutics plc is a clinical‐stage biotechnology company dedicated to the discovery and development of precision medicines for serious and life‐threatening diseases. The company applies a targeted approach to drug design, focusing on novel mechanisms of action that differentiate its candidates from existing therapies.

Summit’s lead asset, ridinilazole (formerly SMT19969), is being developed to treat Clostridioides difficile infections and has received both Fast Track and Qualified Infectious Disease Product designations from the U.S.