Verona Pharma (NASDAQ:VRNA) Shares Gap Up – Time to Buy?

Verona Pharma plc (NASDAQ:VRNA) gapped up prior to trading on Thursday . The stock had previously closed at $63.52, but opened at $67.00. Verona Pharma shares last traded at $67.43, with a volume of 412,315 shares changing hands.

Wall Street Analyst Weigh In

Several equities analysts recently issued reports on the company. Wells Fargo & Company raised their price objective on Verona Pharma from $64.00 to $74.00 and gave the stock an “overweight” rating in a research note on Wednesday, January 8th. Roth Capital upgraded Verona Pharma to a “strong-buy” rating in a research report on Friday, January 10th. Canaccord Genuity Group raised their price objective on shares of Verona Pharma from $44.00 to $72.00 and gave the company a “buy” rating in a research note on Wednesday, February 12th. HC Wainwright reiterated a “buy” rating and issued a $60.00 target price (up from $42.00) on shares of Verona Pharma in a report on Tuesday, January 21st. Finally, Roth Mkm started coverage on Verona Pharma in a research report on Friday, January 10th. They set a “buy” rating and a $68.00 price target on the stock. Seven equities research analysts have rated the stock with a buy rating and one has given a strong buy rating to the company’s stock. According to MarketBeat.com, the company presently has an average rating of “Buy” and an average price target of $57.14.

Verona Pharma Stock Performance

The company has a quick ratio of 12.88, a current ratio of 13.03 and a debt-to-equity ratio of 0.93. The firm has a 50-day moving average of $53.98 and a 200 day moving average of $40.48. The stock has a market capitalization of $5.48 billion, a P/E ratio of -35.38 and a beta of 0.41.

Verona Pharma (NASDAQ:VRNA) last issued its earnings results on Thursday, February 27th. The company reported ($0.40) earnings per share for the quarter, missing the consensus estimate of ($0.23) by ($0.17). Research analysts anticipate that Verona Pharma plc will post -1.95 EPS for the current fiscal year.

Insider Activity at Verona Pharma

In related news, CFO Mark W. Hahn sold 58,184 shares of the stock in a transaction that occurred on Wednesday, December 4th. The stock was sold at an average price of $5.00, for a total transaction of $290,920.00. Following the sale, the chief financial officer now directly owns 14,117,512 shares in the company, valued at $70,587,560. This represents a 0.41 % decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. Also, CEO David Zaccardelli sold 98,888 shares of the stock in a transaction dated Friday, November 29th. The stock was sold at an average price of $5.01, for a total transaction of $495,428.88. Following the sale, the chief executive officer now directly owns 15,078,624 shares in the company, valued at approximately $75,543,906.24. This represents a 0.65 % decrease in their position. The disclosure for this sale can be found here. Insiders have sold a total of 674,712 shares of company stock valued at $3,379,001 in the last 90 days. 4.80% of the stock is owned by corporate insiders.

Institutional Investors Weigh In On Verona Pharma

A number of institutional investors have recently made changes to their positions in the stock. Eventide Asset Management LLC grew its holdings in shares of Verona Pharma by 359.6% in the 3rd quarter. Eventide Asset Management LLC now owns 2,425,846 shares of the company’s stock valued at $69,792,000 after buying an additional 1,898,065 shares during the period. RTW Investments LP bought a new stake in shares of Verona Pharma in the fourth quarter worth about $84,568,000. Wellington Management Group LLP raised its position in shares of Verona Pharma by 61.0% during the fourth quarter. Wellington Management Group LLP now owns 3,025,241 shares of the company’s stock worth $140,492,000 after purchasing an additional 1,146,609 shares during the period. Maverick Capital Ltd. grew its position in shares of Verona Pharma by 36.3% in the 3rd quarter. Maverick Capital Ltd. now owns 4,215,973 shares of the company’s stock valued at $121,294,000 after purchasing an additional 1,123,166 shares during the period. Finally, Loomis Sayles & Co. L P bought a new stake in Verona Pharma during the 3rd quarter worth approximately $31,966,000. 85.88% of the stock is owned by institutional investors and hedge funds.

About Verona Pharma

Verona Pharma plc, a clinical stage biopharmaceutical company, focuses on development and commercialization of therapies for the treatment of respiratory diseases with unmet medical needs. The company's product candidate is ensifentrine, an inhaled and dual inhibitor of the phosphodiesterase (PDE) 3 and PDE4 enzymes that acts as both a bronchodilator and an anti-inflammatory agent in a single compound, which is in Phase 3 clinical trials for the treatment of chronic obstructive pulmonary disease, asthma, and cystic fibrosis.