Zafgen (ZFGN) Downgraded to “Hold” at Zacks Investment Research

Zafgen (NASDAQ:ZFGN) was downgraded by Zacks Investment Research from a “buy” rating to a “hold” rating in a research report issued on Friday.

According to Zacks, “Zafgen, Inc. is a biopharmaceutical company. The Company develops therapeutics for patients suffering from obesity and obesity-related disorders. Its lead product candidate includes Beloranib, an injection that is in Phase II clinical trials for the treatment of various indications comprising obesity and hyperphagia in Prader-Willi Syndrome patients, craniopharyngioma-associated obesity, and severe obesity in the general population. Zafgen, Inc. is headquartered in Cambridge, Massachusetts. “

Several other analysts also recently weighed in on ZFGN. BidaskClub upgraded Zafgen from a “buy” rating to a “strong-buy” rating in a research note on Thursday, September 27th. ValuEngine upgraded Zafgen from a “buy” rating to a “strong-buy” rating in a research note on Saturday, November 10th. Four analysts have rated the stock with a hold rating and three have assigned a buy rating to the company’s stock. The stock has a consensus rating of “Hold” and an average price target of $14.44.

NASDAQ:ZFGN traded up $0.05 during mid-day trading on Friday, hitting $5.13. 4,741 shares of the company’s stock traded hands, compared to its average volume of 522,458. Zafgen has a twelve month low of $3.57 and a twelve month high of $12.35. The firm has a market capitalization of $185.09 million, a P/E ratio of -2.70 and a beta of -0.35. The company has a debt-to-equity ratio of 0.16, a current ratio of 11.78 and a quick ratio of 11.78.

Zafgen (NASDAQ:ZFGN) last posted its quarterly earnings results on Thursday, November 8th. The biopharmaceutical company reported ($0.41) earnings per share for the quarter, beating the Thomson Reuters’ consensus estimate of ($0.45) by $0.04. On average, analysts expect that Zafgen will post -1.96 EPS for the current year.

Institutional investors have recently bought and sold shares of the business. Voya Investment Management LLC purchased a new stake in Zafgen during the 2nd quarter valued at about $104,000. Los Angeles Capital Management & Equity Research Inc. purchased a new stake in Zafgen during the 2nd quarter valued at about $110,000. Trexquant Investment LP purchased a new stake in Zafgen during the 2nd quarter valued at about $117,000. Private Advisor Group LLC purchased a new stake in shares of Zafgen in the second quarter worth about $153,000. Finally, Wells Fargo & Company MN boosted its stake in shares of Zafgen by 428.7% in the third quarter. Wells Fargo & Company MN now owns 14,783 shares of the biopharmaceutical company’s stock worth $173,000 after buying an additional 11,987 shares during the last quarter. Institutional investors and hedge funds own 81.55% of the company’s stock.

Zafgen Company Profile

Zafgen, Inc, a clinical-stage biopharmaceutical company, develops therapies for patients suffering from metabolic diseases comprising type 2 diabetes, Prader-Willi syndrome (PWS), and other metabolically related disorders. The company's lead product candidate is ZGN-1061, a fumagillin-class methionine aminopeptidase 2 (MetAP2) inhibitor administered by subcutaneous injection, which is in Phase 2 clinical trial and profiled for its utility in the treatment of type 2 diabetes and other related metabolic disorders.

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