Zacks Investment Research cut shares of Spectrum Pharmaceuticals (NASDAQ:SPPI) from a hold rating to a sell rating in a research report released on Monday.
According to Zacks, “Spectrum Pharma is expected to file a BLA in 2018 for its lead pipeline candidate, Rolontis. A potential approval will help the company compete better. However, Spectrum’s efforts to gain approval for Qapzola (bladder cancer) in the United States suffered a setback with the FDA issuing a CRL in November 2016. Additional regulatory/development setbacks could affect the stock. However, out-licensing agreements for a number of products will allow Spectrum to focus on Evomela and the development of its pipeline candidates. Spectrum’s shares have outperformed the industry in past one year. However, Spectrum's low product sales remain a cause of concern. Moreover, gaining market share is challenging for Spectrum as it competes with several companies with greater financial strength. Loss estimates have remained stable ahead of Q1 results. The company has a mixed record of earnings surprises in the recent quarters.”
A number of other brokerages have also recently weighed in on SPPI. BidaskClub upgraded Spectrum Pharmaceuticals from a buy rating to a strong-buy rating in a research note on Friday, January 26th. HC Wainwright increased their price target on Spectrum Pharmaceuticals to $33.00 and gave the company a buy rating in a research note on Monday, February 5th. B. Riley began coverage on Spectrum Pharmaceuticals in a research note on Monday, December 18th. They issued a buy rating and a $26.00 price target for the company. TheStreet cut Spectrum Pharmaceuticals from a c- rating to a d+ rating in a research note on Friday, March 16th. Finally, ValuEngine upgraded Spectrum Pharmaceuticals from a hold rating to a buy rating in a research note on Monday, April 2nd. Two equities research analysts have rated the stock with a sell rating and five have given a buy rating to the company’s stock. The company has a consensus rating of Hold and an average target price of $25.20.
Shares of NASDAQ SPPI opened at $18.86 on Monday. The firm has a market cap of $2,042.99, a P/E ratio of -17.63 and a beta of 1.98. Spectrum Pharmaceuticals has a 1-year low of $5.47 and a 1-year high of $23.50.
Spectrum Pharmaceuticals (NASDAQ:SPPI) last issued its quarterly earnings data on Tuesday, March 6th. The biotechnology company reported ($0.29) earnings per share for the quarter, missing analysts’ consensus estimates of ($0.25) by ($0.04). The company had revenue of $28.57 million for the quarter, compared to analysts’ expectations of $33.18 million. Spectrum Pharmaceuticals had a negative return on equity of 30.68% and a negative net margin of 70.66%. The company’s revenue for the quarter was down 18.9% compared to the same quarter last year. During the same quarter last year, the company earned ($0.10) earnings per share. analysts anticipate that Spectrum Pharmaceuticals will post -1.03 earnings per share for the current fiscal year.
In other news, Director Rajesh C. Md Shrotriya sold 30,000 shares of the stock in a transaction dated Wednesday, April 11th. The stock was sold at an average price of $20.30, for a total value of $609,000.00. Following the transaction, the director now directly owns 200,652 shares of the company’s stock, valued at $4,073,235.60. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, COO Thomas J. Riga sold 1,948 shares of the stock in a transaction dated Monday, April 2nd. The shares were sold at an average price of $15.58, for a total value of $30,349.84. Following the completion of the transaction, the chief operating officer now directly owns 256,452 shares in the company, valued at $3,995,522.16. The disclosure for this sale can be found here. Over the last quarter, insiders sold 444,019 shares of company stock valued at $7,843,647. 13.33% of the stock is currently owned by company insiders.
Several hedge funds have recently made changes to their positions in SPPI. Flinton Capital Management LLC increased its holdings in shares of Spectrum Pharmaceuticals by 111.0% in the fourth quarter. Flinton Capital Management LLC now owns 7,088 shares of the biotechnology company’s stock valued at $134,000 after purchasing an additional 3,728 shares during the period. Jane Street Group LLC acquired a new position in shares of Spectrum Pharmaceuticals in the third quarter valued at about $152,000. Meadow Creek Investment Management LLC increased its holdings in shares of Spectrum Pharmaceuticals by 111.0% in the fourth quarter. Meadow Creek Investment Management LLC now owns 9,746 shares of the biotechnology company’s stock valued at $185,000 after purchasing an additional 5,126 shares during the period. State of Alaska Department of Revenue increased its holdings in shares of Spectrum Pharmaceuticals by 22.5% in the fourth quarter. State of Alaska Department of Revenue now owns 18,078 shares of the biotechnology company’s stock valued at $342,000 after purchasing an additional 3,320 shares during the period. Finally, Leucadia National Corp acquired a new position in shares of Spectrum Pharmaceuticals in the fourth quarter valued at about $359,000. 77.32% of the stock is currently owned by institutional investors and hedge funds.
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Spectrum Pharmaceuticals Company Profile
Spectrum Pharmaceuticals, Inc develops and commercializes oncology and hematology drug products. The company markets six drug products, including FUSILEV for patients with metastatic colorectal cancer and rescue after high-dose methotrexate therapy in osteosarcoma, and to diminish toxicity and counteract the effects of impaired methotrexate elimination and of inadvertent overdosage of folic acid antagonists; FOLOTYN, a folate analogue metabolic inhibitor for peripheral T-cell lymphoma (PTCL); ZEVALIN injection for patients with B-cell non-Hodgkin's lymphoma; MARQIBO, a sphingomyelin/cholesterol liposome-encapsulated formulation for adult patients with Philadelphia chromosome-negative acute lymphoblastic leukemia; BELEODAQ injection for PTCL; and EVOMELA for use as a conditioning treatment prior to autologous stem cell transplant in multiple myeloma patients.
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