Verona Pharma (NASDAQ:VRNA) Shares Gap Up – Still a Buy?

Verona Pharma plc (NASDAQ:VRNA) gapped up prior to trading on Tuesday . The stock had previously closed at $44.81, but opened at $46.33. Verona Pharma shares last traded at $44.73, with a volume of 395,072 shares.

Wall Street Analyst Weigh In

Several research firms have weighed in on VRNA. Canaccord Genuity Group increased their price objective on Verona Pharma from $37.00 to $44.00 and gave the stock a “buy” rating in a report on Tuesday, November 5th. Wells Fargo & Company boosted their price target on shares of Verona Pharma from $64.00 to $74.00 and gave the company an “overweight” rating in a research report on Wednesday. Truist Financial reiterated a “buy” rating and set a $57.00 target price (up previously from $44.00) on shares of Verona Pharma in a report on Wednesday. Finally, HC Wainwright raised their price objective on Verona Pharma from $36.00 to $42.00 and gave the company a “buy” rating in a research report on Tuesday, November 5th. Six equities research analysts have rated the stock with a buy rating, According to MarketBeat, Verona Pharma has a consensus rating of “Buy” and an average target price of $47.67.

Verona Pharma Price Performance

The firm has a fifty day moving average of $40.88 and a 200 day moving average of $31.21. The company has a current ratio of 13.03, a quick ratio of 12.88 and a debt-to-equity ratio of 0.93. The company has a market capitalization of $3.72 billion, a P/E ratio of -24.06 and a beta of 0.40.

Verona Pharma (NASDAQ:VRNA) last announced its quarterly earnings results on Monday, November 4th. The company reported ($0.56) EPS for the quarter, missing analysts’ consensus estimates of ($0.44) by ($0.12). The firm had revenue of $5.62 million for the quarter, compared to analysts’ expectations of $2.31 million. During the same period in the previous year, the company earned ($0.18) EPS. On average, equities research analysts anticipate that Verona Pharma plc will post -2.11 EPS for the current year.

Insider Buying and Selling at Verona Pharma

In other news, insider Kathleen A. Rickard sold 240,000 shares of Verona Pharma stock in a transaction on Monday, November 25th. The shares were sold at an average price of $4.90, for a total transaction of $1,176,000.00. Following the transaction, the insider now owns 2,671,480 shares in the company, valued at $13,090,252. This trade represents a 8.24 % decrease in their position. The sale was disclosed in a legal filing with the SEC, which is available through this hyperlink. Also, CEO David Zaccardelli sold 245,784 shares of the company’s stock in a transaction on Friday, October 18th. The stock was sold at an average price of $4.38, for a total value of $1,076,533.92. Following the completion of the sale, the chief executive officer now owns 15,004,920 shares of the company’s stock, valued at $65,721,549.60. This trade represents a 1.61 % decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last ninety days, insiders sold 2,094,432 shares of company stock worth $9,748,833. Insiders own 4.80% of the company’s stock.

Hedge Funds Weigh In On Verona Pharma

Several institutional investors and hedge funds have recently bought and sold shares of the stock. GAMMA Investing LLC raised its stake in shares of Verona Pharma by 70.6% in the third quarter. GAMMA Investing LLC now owns 1,336 shares of the company’s stock worth $38,000 after buying an additional 553 shares during the period. Mirae Asset Global Investments Co. Ltd. increased its holdings in Verona Pharma by 25.4% in the 3rd quarter. Mirae Asset Global Investments Co. Ltd. now owns 2,610 shares of the company’s stock worth $75,000 after acquiring an additional 529 shares in the last quarter. Diversify Advisory Services LLC bought a new stake in Verona Pharma during the 3rd quarter worth approximately $169,000. Claro Advisors LLC purchased a new position in Verona Pharma during the third quarter valued at approximately $209,000. Finally, Sanctuary Advisors LLC bought a new position in shares of Verona Pharma in the third quarter worth approximately $219,000. 85.88% of the stock is currently owned by hedge funds and other institutional investors.

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.