Revolution Medicines (NASDAQ:RVMD) Stock Price Down 5.9% – Here’s Why

Revolution Medicines, Inc. (NASDAQ:RVMD) fell 5.9% during mid-day trading on Friday . The stock traded as low as $207.83 and last traded at $208.21. Approximately 594,307 shares were traded during trading, a decline of 80% from the average daily volume of 3,008,394 shares. The stock had previously closed at $221.15.

Trending Headlines about Revolution Medicines

Here are the key news stories impacting Revolution Medicines this week:

• Positive Sentiment: The FDA approved RASONQUE (daraxonrasib) for previously treated metastatic pancreatic cancer, giving Revolution Medicines its first marketed product and a commercial foothold. The treatment is described as the first broad RAS-targeted medicine for this indication. FDA approval announcement
• Positive Sentiment: Analysts see substantial commercial potential: clinical data reportedly showed a meaningful survival benefit in pancreatic cancer, while estimates cited by The Motley Fool project up to $11.5 billion in peak sales. The expanded RASONQUE label could further increase the addressable market. The Motley Fool article
• Positive Sentiment: Several firms raised their targets following the approval. Guggenheim increased its target from $240 to $275 and assigned a Buy rating; HC Wainwright maintained Buy with a $280 target, while Wedbush and Truist also raised targets and retained positive ratings.
• Positive Sentiment: RBC reportedly expects a rapid RASONQUE launch, and Revolution’s decision to remain independent allows it to retain more potential long-term value from the product rather than selling to a larger pharmaceutical company. RBC launch analysis
• Neutral Sentiment: HC Wainwright forecasts continued losses but improving results in fiscal 2027, projecting quarterly EPS of negative $2.06, negative $1.70, negative $1.62 and negative $1.47, followed by a full-year loss of negative $6.86 per share versus the current-year consensus loss of negative $8.82.
• Negative Sentiment: RASONQUE’s reported list price of approximately $39,800 per month could create reimbursement, access and public-perception challenges, potentially slowing adoption despite the approval. RASONQUE pricing report
• Negative Sentiment: After rising more than fivefold over the past year, RVMD’s valuation reflects significant success. Investors may be taking profits or demanding evidence of commercial sales before assigning additional upside, particularly while the company remains unprofitable.

Analysts Set New Price Targets

RVMD has been the topic of a number of research reports. Piper Sandler raised their target price on shares of Revolution Medicines to $172.00 and gave the stock an “overweight” rating in a research note on Thursday, May 7th. Wedbush upped their price target on Revolution Medicines from $201.00 to $225.00 and gave the company an “outperform” rating in a research report on Thursday. Weiss Ratings reaffirmed a “sell (d-)” rating on shares of Revolution Medicines in a report on Friday, July 17th. Sanford C. Bernstein increased their price target on Revolution Medicines from $151.00 to $179.00 and gave the company a “market perform” rating in a report on Friday, August 21st. Finally, Guggenheim lifted their price objective on Revolution Medicines from $240.00 to $275.00 and gave the stock a “buy” rating in a research report on Friday. Two investment analysts have rated the stock with a Strong Buy rating, eighteen have given a Buy rating, one has assigned a Hold rating and one has issued a Sell rating to the company. According to data from MarketBeat.com, the company has an average rating of “Moderate Buy” and a consensus price target of $198.89.

Revolution Medicines Stock Down 6.5%

The firm’s fifty day simple moving average is $192.43 and its two-hundred day simple moving average is $148.17. The company has a current ratio of 11.38, a quick ratio of 11.38 and a debt-to-equity ratio of 0.40. The company has a market capitalization of $44.32 billion, a price-to-earnings ratio of -23.44 and a beta of 1.39.

Revolution Medicines (NASDAQ:RVMD) last announced its quarterly earnings results on Wednesday, August 5th. The company reported ($3.06) earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of ($2.04) by ($1.02). During the same period last year, the business posted ($1.31) EPS. Sell-side analysts anticipate that Revolution Medicines, Inc. will post -8.82 EPS for the current year.

Insider Buying and Selling

In other news, COO Margaret A. Horn sold 60,400 shares of the company’s stock in a transaction on Monday, June 15th. The stock was sold at an average price of $160.17, for a total value of $9,674,268.00. Following the transaction, the chief operating officer owned 158,222 shares of the company’s stock, valued at $25,342,417.74. This represents a 27.63% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available at this hyperlink. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, insider Mark A. Goldsmith sold 80,000 shares of the stock in a transaction on Friday, August 21st. The stock was sold at an average price of $209.20, for a total value of $16,736,000.00. Following the transaction, the insider owned 267,330 shares of the company’s stock, valued at approximately $55,925,436. This represents a 23.03% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders sold a total of 212,497 shares of company stock valued at $38,206,486 in the last ninety days. Company insiders own 7.60% of the company’s stock.

Institutional Trading of Revolution Medicines

Several institutional investors and hedge funds have recently bought and sold shares of RVMD. Corient Private Wealth LP boosted its stake in Revolution Medicines by 5.9% during the second quarter. Corient Private Wealth LP now owns 10,537 shares of the company’s stock worth $1,973,000 after buying an additional 583 shares during the period. HighTower Advisors LLC increased its position in shares of Revolution Medicines by 311.2% during the second quarter. HighTower Advisors LLC now owns 10,485 shares of the company’s stock valued at $1,964,000 after acquiring an additional 7,935 shares during the last quarter. California State Teachers Retirement System raised its stake in shares of Revolution Medicines by 26,920.9% in the 2nd quarter. California State Teachers Retirement System now owns 44,659,351 shares of the company’s stock valued at $8,363,803,000 after acquiring an additional 44,494,074 shares during the period. Washington Trust Advisors Inc. purchased a new stake in shares of Revolution Medicines in the 2nd quarter valued at approximately $90,000. Finally, Readystate Asset Management LP lifted its holdings in shares of Revolution Medicines by 18.5% in the 2nd quarter. Readystate Asset Management LP now owns 37,727 shares of the company’s stock worth $7,066,000 after acquiring an additional 5,880 shares during the last quarter. 94.34% of the stock is currently owned by hedge funds and other institutional investors.

Revolution Medicines Company Profile

Revolution Medicines is a clinical-stage biopharmaceutical company focused on discovering and developing small molecule therapies to treat RAS-dependent cancers and other diseases driven by the RAS/MAPK pathway. The company’s research efforts target historically “undruggable” proteins, aiming to inhibit critical nodes in cell signaling that promote tumor growth and therapeutic resistance.

The lead pipeline includes RMC-4630, a SHP2 inhibitor; RMC-6291, a selective KRAS G12C inhibitor; and RMC-6236, a pan-RAS inhibitor designed to address multiple RAS mutations.