Exact Sciences (NASDAQ:EXAS) Shares Gap Down on Disappointing Earnings

Exact Sciences Co. (NASDAQ:EXAS)’s stock price gapped down prior to trading on Wednesday after the company announced weaker than expected quarterly earnings. The stock had previously closed at $71.51, but opened at $55.70. Exact Sciences shares last traded at $51.14, with a volume of 4,851,214 shares trading hands.

The medical research company reported ($0.21) EPS for the quarter, missing analysts’ consensus estimates of ($0.20) by ($0.01). The company had revenue of $708.66 million for the quarter, compared to the consensus estimate of $716.80 million. Exact Sciences had a negative net margin of 6.70% and a negative return on equity of 4.97%. The company’s revenue for the quarter was up 12.8% on a year-over-year basis.

Wall Street Analysts Forecast Growth

A number of research firms have issued reports on EXAS. Benchmark reduced their target price on shares of Exact Sciences from $67.00 to $65.00 and set a “buy” rating for the company in a research note on Wednesday. Canaccord Genuity Group increased their price objective on shares of Exact Sciences from $75.00 to $95.00 and gave the company a “buy” rating in a research note on Tuesday, October 29th. Stifel Nicolaus lowered their target price on shares of Exact Sciences from $100.00 to $82.00 and set a “buy” rating on the stock in a report on Thursday, August 1st. The Goldman Sachs Group decreased their price objective on shares of Exact Sciences from $88.00 to $75.00 and set a “buy” rating on the stock in a report on Wednesday, July 17th. Finally, Wells Fargo & Company started coverage on shares of Exact Sciences in a research note on Tuesday, August 27th. They issued an “overweight” rating and a $75.00 target price on the stock. One research analyst has rated the stock with a hold rating and seventeen have assigned a buy rating to the company. According to data from MarketBeat, the stock currently has an average rating of “Moderate Buy” and an average target price of $78.69.

Insiders Place Their Bets

In related news, EVP Brian Baranick sold 929 shares of the firm’s stock in a transaction that occurred on Tuesday, October 8th. The stock was sold at an average price of $70.00, for a total transaction of $65,030.00. Following the transaction, the executive vice president now directly owns 12,758 shares in the company, valued at $893,060. This trade represents a 0.00 % decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. 1.36% of the stock is owned by corporate insiders.

Institutional Inflows and Outflows

Several hedge funds have recently modified their holdings of EXAS. Huntington National Bank boosted its stake in shares of Exact Sciences by 838.1% in the third quarter. Huntington National Bank now owns 394 shares of the medical research company’s stock worth $27,000 after acquiring an additional 352 shares during the period. Itau Unibanco Holding S.A. purchased a new position in shares of Exact Sciences in the 2nd quarter worth approximately $29,000. Capital Performance Advisors LLP purchased a new position in shares of Exact Sciences in the 3rd quarter worth approximately $35,000. Vestor Capital LLC purchased a new position in shares of Exact Sciences in the 3rd quarter worth approximately $46,000. Finally, V Square Quantitative Management LLC purchased a new position in shares of Exact Sciences in the 3rd quarter worth approximately $47,000. Hedge funds and other institutional investors own 88.82% of the company’s stock.

Exact Sciences Trading Down 27.9 %

The stock has a fifty day moving average price of $67.27 and a 200 day moving average price of $56.67. The company has a debt-to-equity ratio of 0.73, a quick ratio of 1.98 and a current ratio of 2.17. The stock has a market cap of $9.53 billion, a PE ratio of -55.88 and a beta of 1.27.

Exact Sciences Company Profile

Exact Sciences Corporation provides cancer screening and diagnostic test products in the United States and internationally. The company offers Cologuard, a non-invasive stool-based DNA screening test to detect DNA and hemoglobin biomarkers associated with colorectal cancer and pre-cancer. It also provides Oncotype DX Breast Recurrence Score Test; Oncotype DX Breast DCIS Score Test; Oncotype DX Colon Recurrence Score Test; OncoExTra Test for tumor profiling for patients with advanced, metastatic, refractory, relapsed, or recurrent cancer; and Covid-19 testing services.