BridgeBio Pharma (NASDAQ:BBIO) Shares Gap Down – What’s Next?

Shares of BridgeBio Pharma, Inc. (NASDAQ:BBIO) gapped down prior to trading on Thursday . The stock had previously closed at $77.90, but opened at $75.01. BridgeBio Pharma shares last traded at $76.68, with a volume of 162,325 shares.

More BridgeBio Pharma News

Here are the key news stories impacting BridgeBio Pharma this week:

• Positive Sentiment: Lower near-term interest cost and extended maturity — the new notes carry 0.75% interest vs. the company’s 2.50% 2027 notes and push maturity to 2033, which should reduce cash interest expense and extend refinancing risk, improving balance-sheet flexibility. BridgeBio Prices Offering (GlobeNewswire)
• Positive Sentiment: Share repurchase tied to the deal reduces near-term float and may support the stock while also pushing the effective conversion price higher (helps limit immediate dilution). Management is using ~$82.5M cash to repurchase ~1.1M shares concurrently with the note pricing. QuiverQuant deal summary
• Positive Sentiment: Analyst/Wall Street tone is constructive — brokerages give a consensus “Moderate Buy” and recent price targets (median ≈ $86) remain above current levels, which supports investor confidence. Consensus Recommendation (AmericanBankingNews)
• Neutral Sentiment: Conversion terms limit near-term dilution — the initial conversion price is ~45% above the last trade, and conversions are restricted until certain conditions/periods (convertibility becomes more open closer to maturity), so dilution risk is muted in the short run. Finanznachrichten pricing details
• Negative Sentiment: Increased leverage and potential future dilution — the company is issuing incremental convertible debt (structurally junior to some obligations) and conversion or future redemptions could dilute equity holders over time; the offering is private (Rule 144A) and not registered. QuiverQuant private offering note
• Negative Sentiment: Insider selling and institutional adjustments noted in public data could weigh on sentiment — recent disclosures show sizable insider sales and some large institutional rebalances, which investors may view as a cautionary signal. QuiverQuant insider & institutional data

Wall Street Analyst Weigh In

A number of brokerages have recently issued reports on BBIO. Weiss Ratings reaffirmed a “sell (d-)” rating on shares of BridgeBio Pharma in a research report on Wednesday, October 8th. Cowen restated a “buy” rating on shares of BridgeBio Pharma in a report on Monday. Sanford C. Bernstein began coverage on BridgeBio Pharma in a research note on Thursday, December 11th. They set an “outperform” rating and a $94.00 target price for the company. Truist Financial raised their price target on shares of BridgeBio Pharma from $80.00 to $86.00 and gave the stock a “buy” rating in a research report on Thursday, January 8th. Finally, JPMorgan Chase & Co. upped their price target on shares of BridgeBio Pharma from $76.00 to $77.00 and gave the company an “overweight” rating in a report on Friday, November 7th. Twenty-two investment analysts have rated the stock with a Buy rating and one has assigned a Sell rating to the stock. According to data from MarketBeat, the stock has an average rating of “Moderate Buy” and a consensus target price of $78.85.

BridgeBio Pharma Price Performance

The stock has a market cap of $14.70 billion, a price-to-earnings ratio of -18.24 and a beta of 1.17. The business’s fifty day simple moving average is $72.97 and its 200 day simple moving average is $58.90.

BridgeBio Pharma (NASDAQ:BBIO) last posted its quarterly earnings results on Wednesday, October 29th. The company reported ($0.95) earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of ($0.88) by ($0.07). The firm had revenue of $120.70 million for the quarter, compared to the consensus estimate of $107.71 million. During the same quarter in the prior year, the firm posted ($0.86) EPS. The business’s revenue was up 4318.0% on a year-over-year basis. As a group, equities analysts forecast that BridgeBio Pharma, Inc. will post -3.67 EPS for the current fiscal year.

Insider Activity at BridgeBio Pharma

In other news, CEO Neil Kumar sold 40,000 shares of the stock in a transaction that occurred on Thursday, November 6th. The stock was sold at an average price of $63.15, for a total transaction of $2,526,000.00. Following the sale, the chief executive officer directly owned 815,686 shares in the company, valued at approximately $51,510,570.90. This represents a 4.67% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, Director Andrew Lo sold 55,000 shares of the business’s stock in a transaction that occurred on Tuesday, November 18th. The shares were sold at an average price of $65.69, for a total value of $3,612,950.00. Following the transaction, the director owned 50,583 shares of the company’s stock, valued at $3,322,797.27. This represents a 52.09% decrease in their position. The SEC filing for this sale provides additional information. In the last three months, insiders sold 587,215 shares of company stock valued at $39,569,101. 18.20% of the stock is owned by insiders.

Hedge Funds Weigh In On BridgeBio Pharma

Several institutional investors have recently modified their holdings of the company. Westmount Partners LLC bought a new stake in BridgeBio Pharma in the 4th quarter valued at about $241,000. Allspring Global Investments Holdings LLC increased its stake in shares of BridgeBio Pharma by 14,211.5% in the fourth quarter. Allspring Global Investments Holdings LLC now owns 994,220 shares of the company’s stock valued at $77,783,000 after purchasing an additional 987,273 shares during the period. Central Pacific Bank Trust Division bought a new stake in shares of BridgeBio Pharma during the fourth quarter valued at approximately $789,000. GAMMA Investing LLC boosted its position in shares of BridgeBio Pharma by 39.0% during the fourth quarter. GAMMA Investing LLC now owns 1,418 shares of the company’s stock worth $108,000 after buying an additional 398 shares during the period. Finally, Swiss Life Asset Management Ltd bought a new position in BridgeBio Pharma in the 3rd quarter worth approximately $346,000. Institutional investors own 99.85% of the company’s stock.

About BridgeBio Pharma

BridgeBio Pharma, Inc is a clinical-stage biopharmaceutical company headquartered in Palo Alto, California. Founded in 2015 by Neil Kumar, the company is dedicated to discovering, developing and delivering transformative medicines for patients with genetic diseases and cancers. BridgeBio operates an integrated model that spans target identification, preclinical research, clinical development and commercialization, aiming to streamline the process from bench to bedside.

BridgeBio’s pipeline comprises multiple therapeutic modalities, including small molecules, biologics and genetic therapies.