Kodiak Sciences Inc. (NASDAQ:KOD) experienced a significant decline in its stock value, dropping by 4.4% during trading on Thursday. The shares reached a low of $25.95 before closing at $25.7750. In total, approximately 274,791 shares changed hands, marking a 53% decrease from the average daily trading volume of 585,993 shares. The stock had closed at $26.97 on the previous day.
Analysts have varied opinions regarding the stock’s potential. On September 22, Jefferies Financial Group initiated coverage on Kodiak Sciences with a “buy” rating and a price target of $15.00. Conversely, Chardan Capital reaffirmed a “neutral” rating with a target price of $14.00 in their report dated November 17. HC Wainwright raised their price target from $24.00 to $26.00 while maintaining a “buy” rating on the same date. Additionally, Barclays upgraded the stock from “underweight” to “equal weight,” adjusting their price objective from $7.00 to $17.00 on September 25. In a separate note on October 23, Lifesci Capital began coverage with an “outperform” rating and a target price of $40.00.
The overall consensus from analysts indicates a balanced view, with four rating the stock as a buy, two advising a hold, and one suggesting a sell. According to data from MarketBeat, Kodiak Sciences has an average rating of “hold” and an average price target of $22.67.
Recent Earnings and Insider Activity
Kodiak Sciences recently reported its quarterly earnings on November 13, revealing an earnings per share (EPS) of ($1.16), which fell short of the consensus estimate of ($1.07) by $0.09. Analysts project that the company will report an EPS of ($3.45) for the ongoing fiscal year.
In other developments, Bros. Advisors Lp Baker, a director at the company, acquired 2,608,696 shares on December 18 for an average price of $23.00 per share. This purchase totaled approximately $60 million, increasing Baker’s ownership in the company by 16.56%. Following the transaction, the director now holds 18,358,772 shares, valued at about $422 million. This transaction was disclosed in a legal filing with the SEC.
Insiders currently own 45.90% of Kodiak Sciences’ shares, indicating a significant stake by company executives.
Institutional Investments Surge
Institutional investors have also shown a keen interest in Kodiak Sciences, with several hedge funds adjusting their positions in the company. Notably, Adage Capital Partners GP L.L.C. increased its stake by 55.1% in the second quarter, owning 2,055,707 shares worth around $7.7 million after acquiring an additional 730,000 shares. Boone Capital Management LLC purchased a new stake valued at approximately $11.7 million during the third quarter.
Other significant transactions include Acadian Asset Management LLC, which raised its holdings by 27.0%, now owning 1,946,134 shares valued at $5.45 million, and Jacobs Levy Equity Management Inc., which increased its stake by 90.1%, now holding 685,198 shares worth about $1.92 million. Additionally, Bank of America Corp DE boosted its stake by 657.7%, acquiring 309,071 shares valued at around $5.06 million.
Overall, institutional investors and hedge funds own a substantial 89.06% of Kodiak Sciences, highlighting strong institutional support for the company.
Kodiak Sciences, based in Palo Alto, California, is a clinical-stage biopharmaceutical firm focused on developing innovative therapies for retinal diseases. Their lead product candidate, KSI-301, targets conditions such as wet age-related macular degeneration and diabetic macular edema. The company’s proprietary technology aims to enhance the safety and effectiveness of existing treatments through the use of antibody biopolymer conjugates.
