Royal Bank of Canada Reaffirms “Outperform” Rating for Avid Bioservices (NASDAQ:CDMO)

Royal Bank of Canada reissued their outperform rating on shares of Avid Bioservices (NASDAQ:CDMO) in a report issued on Wednesday, Benzinga reports. They currently have a $8.00 price target on the biopharmaceutical company’s stock.

Avid Bioservices Price Performance

NASDAQ:CDMO opened at $7.42 on Wednesday. The company has a debt-to-equity ratio of 0.04, a current ratio of 0.46 and a quick ratio of 0.31. The company has a 50 day moving average price of $8.00 and a 200-day moving average price of $7.23. Avid Bioservices has a 1-year low of $4.07 and a 1-year high of $14.27. The firm has a market cap of $471.76 million, a price-to-earnings ratio of -27.48 and a beta of 1.36.

Avid Bioservices (NASDAQ:CDMO) last issued its quarterly earnings data on Wednesday, April 24th. The biopharmaceutical company reported ($0.08) earnings per share for the quarter, missing analysts’ consensus estimates of ($0.02) by ($0.06). Avid Bioservices had a negative return on equity of 11.27% and a negative net margin of 100.57%. The firm had revenue of $33.82 million during the quarter, compared to analyst estimates of $33.80 million.

Insider Activity

In other news, CEO Nicholas Stewart Green sold 11,762 shares of the stock in a transaction that occurred on Tuesday, April 30th. The stock was sold at an average price of $7.40, for a total transaction of $87,038.80. Following the transaction, the chief executive officer now owns 203,606 shares in the company, valued at approximately $1,506,684.40. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this link. Insiders sold 17,236 shares of company stock worth $127,546 over the last three months. 2.39% of the stock is currently owned by corporate insiders.

Institutional Inflows and Outflows

Several hedge funds have recently modified their holdings of the stock. 12 West Capital Management LP purchased a new stake in Avid Bioservices during the 1st quarter worth approximately $18,425,000. Wellington Management Group LLP increased its position in shares of Avid Bioservices by 72.9% during the third quarter. Wellington Management Group LLP now owns 1,163,242 shares of the biopharmaceutical company’s stock worth $10,981,000 after purchasing an additional 490,569 shares in the last quarter. Federated Hermes Inc. purchased a new stake in shares of Avid Bioservices during the fourth quarter worth approximately $2,090,000. Roubaix Capital LLC raised its stake in Avid Bioservices by 374.2% in the 4th quarter. Roubaix Capital LLC now owns 369,158 shares of the biopharmaceutical company’s stock valued at $2,400,000 after purchasing an additional 291,315 shares during the last quarter. Finally, Kent Lake Capital LLC purchased a new position in Avid Bioservices in the 1st quarter valued at $1,879,000. Institutional investors and hedge funds own 97.16% of the company’s stock.

Avid Bioservices Company Profile

Avid Bioservices, Inc, a contract development and manufacturing organization, provides process development and current good manufacturing practices (CGMP) clinical and commercial manufacturing services of biologics for the biotechnology and biopharmaceutical industries. The company offers various services, including clinical and commercial drug substance manufacturing, bulk packaging, release and stability testing, and regulatory submission and support.