Arcutis Biotherapeutics (NASDAQ:ARQT) Shares Gap Up on Better-Than-Expected Earnings

Arcutis Biotherapeutics, Inc. (NASDAQ:ARQT) gapped up prior to trading on Wednesday following a stronger than expected earnings report. The stock had previously closed at $12.20, but opened at $13.85. Arcutis Biotherapeutics shares last traded at $13.07, with a volume of 941,841 shares traded.

The company reported ($0.09) earnings per share for the quarter, beating the consensus estimate of ($0.28) by $0.19. Arcutis Biotherapeutics had a negative net margin of 140.97% and a negative return on equity of 119.11%. The firm had revenue of $71.36 million for the quarter, compared to analysts’ expectations of $60.52 million.

Wall Street Analysts Forecast Growth

Several research analysts have recently issued reports on the company. Needham & Company LLC reaffirmed a “buy” rating and set a $20.00 price objective on shares of Arcutis Biotherapeutics in a research report on Wednesday. Mizuho increased their price target on shares of Arcutis Biotherapeutics from $19.00 to $20.00 and gave the company an “outperform” rating in a research note on Tuesday, January 7th. HC Wainwright restated a “buy” rating and set a $19.00 price objective on shares of Arcutis Biotherapeutics in a research report on Monday, January 13th. Finally, Guggenheim reaffirmed a “buy” rating on shares of Arcutis Biotherapeutics in a research report on Monday. One investment analyst has rated the stock with a hold rating and five have assigned a buy rating to the company’s stock. According to MarketBeat.com, the stock has an average rating of “Moderate Buy” and a consensus target price of $17.00.

Insider Activity

In other news, insider Masaru Matsuda sold 8,338 shares of the business’s stock in a transaction dated Monday, February 3rd. The shares were sold at an average price of $12.70, for a total transaction of $105,892.60. Following the transaction, the insider now directly owns 178,692 shares in the company, valued at $2,269,388.40. The trade was a 4.46 % decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available through this link. Also, Director Howard G. Welgus sold 10,000 shares of the firm’s stock in a transaction dated Monday, December 2nd. The shares were sold at an average price of $12.51, for a total transaction of $125,100.00. Following the completion of the sale, the director now owns 161,944 shares of the company’s stock, valued at approximately $2,025,919.44. The trade was a 5.82 % decrease in their position. The disclosure for this sale can be found here. Insiders have sold 55,029 shares of company stock valued at $756,017 in the last ninety days. 9.50% of the stock is currently owned by company insiders.

Hedge Funds Weigh In On Arcutis Biotherapeutics

A number of large investors have recently modified their holdings of ARQT. Jennison Associates LLC boosted its stake in shares of Arcutis Biotherapeutics by 5.8% in the fourth quarter. Jennison Associates LLC now owns 12,339,792 shares of the company’s stock valued at $171,893,000 after buying an additional 676,295 shares in the last quarter. Suvretta Capital Management LLC boosted its position in shares of Arcutis Biotherapeutics by 6.3% during the 4th quarter. Suvretta Capital Management LLC now owns 11,399,138 shares of the company’s stock worth $158,790,000 after purchasing an additional 677,627 shares in the last quarter. Rubric Capital Management LP grew its stake in shares of Arcutis Biotherapeutics by 11.7% during the 3rd quarter. Rubric Capital Management LP now owns 10,966,672 shares of the company’s stock worth $101,990,000 after purchasing an additional 1,150,000 shares during the period. Polar Capital Holdings Plc increased its holdings in shares of Arcutis Biotherapeutics by 7.2% in the 4th quarter. Polar Capital Holdings Plc now owns 7,377,381 shares of the company’s stock valued at $102,767,000 after purchasing an additional 493,009 shares in the last quarter. Finally, State Street Corp lifted its stake in shares of Arcutis Biotherapeutics by 9.9% in the third quarter. State Street Corp now owns 5,641,631 shares of the company’s stock valued at $52,467,000 after purchasing an additional 506,788 shares during the period.

Arcutis Biotherapeutics Trading Up 7.4 %

The company has a quick ratio of 2.38, a current ratio of 2.46 and a debt-to-equity ratio of 0.67. The business’s fifty day moving average is $13.59 and its 200 day moving average is $11.41. The stock has a market cap of $1.53 billion, a PE ratio of -7.43 and a beta of 1.29.

Arcutis Biotherapeutics Company Profile

Arcutis Biotherapeutics, Inc, a biopharmaceutical company, focuses on developing and commercializing treatments for dermatological diseases. Its lead product candidate is ARQ-151, a topical roflumilast cream that has completed Phase III clinical trials for the treatment of plaque psoriasis and atopic dermatitis.