Praxis Precision Medicines (NASDAQ:PRAX) Trading Down 6.5% – Here’s Why

Praxis Precision Medicines, Inc. (NASDAQ:PRAX)’s stock price dropped 6.5% on Tuesday . The company traded as low as $72.73 and last traded at $72.80. Approximately 90,860 shares were traded during mid-day trading, a decline of 68% from the average daily volume of 284,252 shares. The stock had previously closed at $77.86.

Wall Street Analyst Weigh In

Several analysts have commented on PRAX shares. Oppenheimer lifted their price objective on shares of Praxis Precision Medicines from $143.00 to $163.00 and gave the stock an “outperform” rating in a research report on Thursday, October 31st. Needham & Company LLC reiterated a “buy” rating and issued a $151.00 price target on shares of Praxis Precision Medicines in a research report on Thursday, November 7th. Wedbush increased their target price on shares of Praxis Precision Medicines from $40.00 to $48.00 and gave the stock a “neutral” rating in a research note on Wednesday, August 14th. Guggenheim lifted their price target on Praxis Precision Medicines from $155.00 to $170.00 and gave the company a “buy” rating in a research report on Wednesday, August 14th. Finally, HC Wainwright reiterated a “buy” rating and issued a $120.00 target price on shares of Praxis Precision Medicines in a research report on Thursday, November 7th. One equities research analyst has rated the stock with a hold rating and eight have assigned a buy rating to the stock. According to data from MarketBeat, the company has a consensus rating of “Moderate Buy” and an average price target of $146.33.

Praxis Precision Medicines Price Performance

The firm’s 50 day moving average price is $70.29 and its 200 day moving average price is $56.84. The stock has a market capitalization of $1.34 billion, a P/E ratio of -6.95 and a beta of 2.67.

Praxis Precision Medicines (NASDAQ:PRAX) last posted its earnings results on Wednesday, November 6th. The company reported ($2.75) EPS for the quarter, missing the consensus estimate of ($2.01) by ($0.74). Praxis Precision Medicines had a negative return on equity of 54.86% and a negative net margin of 9,409.22%. The company had revenue of $0.30 million during the quarter, compared to analysts’ expectations of $0.53 million. During the same period in the prior year, the business posted ($2.70) earnings per share. On average, equities research analysts forecast that Praxis Precision Medicines, Inc. will post -10.26 earnings per share for the current year.

Insider Buying and Selling

In other news, insider Lauren Mastrocola sold 5,188 shares of the firm’s stock in a transaction dated Thursday, November 14th. The shares were sold at an average price of $81.78, for a total transaction of $424,274.64. Following the sale, the insider now owns 5,613 shares of the company’s stock, valued at $459,031.14. This trade represents a 48.03 % decrease in their position. The sale was disclosed in a legal filing with the SEC, which is available through this link. Also, General Counsel Alex Nemiroff sold 8,239 shares of the business’s stock in a transaction on Thursday, November 14th. The shares were sold at an average price of $80.20, for a total transaction of $660,767.80. Following the sale, the general counsel now owns 10,301 shares of the company’s stock, valued at approximately $826,140.20. This represents a 44.44 % decrease in their ownership of the stock. The disclosure for this sale can be found here. 2.70% of the stock is owned by insiders.

Hedge Funds Weigh In On Praxis Precision Medicines

A number of institutional investors and hedge funds have recently modified their holdings of PRAX. Vanguard Group Inc. boosted its position in Praxis Precision Medicines by 100.6% in the first quarter. Vanguard Group Inc. now owns 744,069 shares of the company’s stock worth $45,403,000 after purchasing an additional 373,131 shares during the last quarter. PCG Wealth Advisors LLC increased its holdings in Praxis Precision Medicines by 35.0% during the second quarter. PCG Wealth Advisors LLC now owns 17,441 shares of the company’s stock valued at $721,000 after buying an additional 4,524 shares during the last quarter. Bank of New York Mellon Corp purchased a new stake in Praxis Precision Medicines during the second quarter valued at approximately $2,048,000. Hussman Strategic Advisors Inc. bought a new position in Praxis Precision Medicines in the second quarter worth approximately $869,000. Finally, Rhumbline Advisers boosted its stake in shares of Praxis Precision Medicines by 14,500.0% during the 2nd quarter. Rhumbline Advisers now owns 22,192 shares of the company’s stock worth $918,000 after acquiring an additional 22,040 shares during the last quarter. 67.84% of the stock is currently owned by hedge funds and other institutional investors.

About Praxis Precision Medicines

Praxis Precision Medicines, Inc, a clinical-stage biopharmaceutical company, engages in the development of therapies for central nervous system disorders characterized by neuronal excitation-inhibition imbalance. It is developing ulixacaltamide, a small molecule inhibitor of T-type calcium channels that is in Phase III clinical trial for the treatment of essential tremor; PRAX-562 for the treatment of pediatric patients with developmental and epileptic encephalopathies (DEE); and PRAX-628 to treat focal epilepsy.