Sagimet Biosciences (NASDAQ:SGMT) Shares Gap Down – Should You Sell?

by · The Markets Daily

Sagimet Biosciences Inc. (NASDAQ:SGMT – Get Free Report) shares gapped down prior to trading on Thursday . The stock had previously closed at $10.42, but opened at $9.78. Sagimet Biosciences shares last traded at $9.0960, with a volume of 269,339 shares changing hands.

Analyst Upgrades and Downgrades

SGMT has been the subject of several analyst reports. Wall Street Zen lowered Sagimet Biosciences from a “hold” rating to a “sell” rating in a research report on Saturday, August 15th. Citigroup reaffirmed a “market outperform” rating on shares of Sagimet Biosciences in a research note on Friday, August 14th. HC Wainwright reiterated a “buy” rating and set a $29.00 price target on shares of Sagimet Biosciences in a report on Tuesday, August 25th. Citizens Jmp raised their price objective on Sagimet Biosciences from $12.00 to $29.00 and gave the stock a “market outperform” rating in a research report on Friday, August 14th. Finally, Canaccord Genuity Group boosted their price objective on shares of Sagimet Biosciences from $49.00 to $56.00 and gave the company a “buy” rating in a report on Wednesday, August 12th. Nine analysts have rated the stock with a Buy rating, one has issued a Hold rating and two have given a Sell rating to the stock. According to data from MarketBeat.com, Sagimet Biosciences has an average rating of “Moderate Buy” and a consensus target price of $25.34.

Check Out Our Latest Stock Analysis on SGMT

Sagimet Biosciences Stock Performance

The stock’s 50-day moving average is $9.52 and its two-hundred day moving average is $7.58. The stock has a market cap of $555.45 million, a PE ratio of -6.96 and a beta of 3.45.

Sagimet Biosciences (NASDAQ:SGMT – Get Free Report) last announced its earnings results on Tuesday, August 11th. The company reported ($0.26) earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of ($0.25) by ($0.01). Analysts forecast that Sagimet Biosciences Inc. will post -1.19 EPS for the current year.

Insider Activity at Sagimet Biosciences

In related news, insider Elizabeth Rozek sold 10,545 shares of the stock in a transaction dated Monday, July 20th. The stock was sold at an average price of $7.76, for a total transaction of $81,829.20. Following the transaction, the insider owned 224,414 shares of the company’s stock, valued at approximately $1,741,452.64. This represents a 4.49% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this hyperlink. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, Director George Kemble sold 20,206 shares of the firm’s stock in a transaction dated Tuesday, August 11th. The shares were sold at an average price of $9.95, for a total value of $201,049.70. Following the transaction, the director owned 62,161 shares of the company’s stock, valued at $618,501.95. This trade represents a 24.53% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. In the last 90 days, insiders have sold 113,646 shares of company stock worth $920,491. 11.50% of the stock is currently owned by company insiders.

Institutional Trading of Sagimet Biosciences

Hedge funds have recently made changes to their positions in the business. Baird Financial Group Inc. increased its stake in Sagimet Biosciences by 19.8% during the 2nd quarter. Baird Financial Group Inc. now owns 15,677 shares of the company’s stock worth $121,000 after buying an additional 2,591 shares during the period. Seven Fleet Capital Management LP acquired a new position in shares of Sagimet Biosciences in the second quarter worth $3,119,000. Wellington Management Group LLP purchased a new stake in shares of Sagimet Biosciences during the second quarter worth $315,000. AWM Investment Company Inc. acquired a new stake in shares of Sagimet Biosciences in the second quarter valued at $618,000. Finally, Bank of New York Mellon Corp acquired a new position in Sagimet Biosciences during the 2nd quarter worth $1,551,000. Institutional investors and hedge funds own 87.86% of the company’s stock.

Sagimet Biosciences Company Profile

(Get Free Report)

Sagimet Biosciences, Inc is a clinical-stage biopharmaceutical company developing therapies for diseases associated with abnormal lipid metabolism. The company’s primary focus is fatty acid synthase (FASN), an enzyme involved in the production of fatty acids that can contribute to disease progression in certain metabolic and inflammatory conditions.

Sagimet’s lead product candidate is denifanstat, formerly known as TVB-2640. Denifanstat is an orally administered, selective FASN inhibitor being evaluated primarily for metabolic dysfunction-associated steatohepatitis (MASH), a chronic liver disease that can lead to fibrosis, cirrhosis and other serious complications.

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