Avalo Therapeutics (NASDAQ:AVTX) Stock Falls 6.6% – Should You Sell?

Avalo Therapeutics, Inc. (NASDAQ:AVTX) fell 6.6% during mid-day trading on Tuesday. The company traded as low as $12.41 and last traded at $12.3620. 667,714 shares traded hands during trading, a decline of 41% from the average daily volume of 1,137,168 shares. The stock had previously closed at $13.24.

Wall Street Analyst Weigh In

AVTX has been the subject of a number of research analyst reports. Guggenheim set a $48.00 price objective on shares of Avalo Therapeutics and gave the stock a “buy” rating in a research report on Friday, August 7th. Cantor Fitzgerald reaffirmed an “overweight” rating on shares of Avalo Therapeutics in a research note on Wednesday, September 16th. Weiss Ratings raised shares of Avalo Therapeutics from a “sell (e+)” rating to a “sell (d-)” rating in a research note on Tuesday, August 11th. Leerink Partners assumed coverage on shares of Avalo Therapeutics in a report on Monday, July 6th. They issued an “outperform” rating and a $38.00 price objective for the company. Finally, Wall Street Zen cut Avalo Therapeutics from a “hold” rating to a “sell” rating in a report on Saturday, September 12th. Twelve analysts have rated the stock with a Buy rating and one has given a Sell rating to the company’s stock. According to data from MarketBeat.com, the stock currently has a consensus rating of “Moderate Buy” and an average target price of $45.10.

Avalo Therapeutics Stock Up 3.3%

The firm has a 50-day moving average price of $17.27 and a 200 day moving average price of $16.87. The firm has a market capitalization of $655.63 million, a PE ratio of -2.81 and a beta of 0.68.

Avalo Therapeutics (NASDAQ:AVTX) last announced its earnings results on Thursday, August 6th. The company reported ($0.83) EPS for the quarter, missing analysts’ consensus estimates of ($0.58) by ($0.25). Equities research analysts expect that Avalo Therapeutics, Inc. will post -2.80 earnings per share for the current year.

Insider Buying and Selling at Avalo Therapeutics

In related news, CFO Christopher Sullivan sold 12,394 shares of Avalo Therapeutics stock in a transaction that occurred on Wednesday, September 16th. The shares were sold at an average price of $16.33, for a total value of $202,394.02. Following the completion of the transaction, the chief financial officer owned 39,900 shares in the company, valued at $651,567. The trade was a 23.70% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold 24,258 shares of company stock worth $415,434 in the last 90 days. 4.46% of the stock is currently owned by corporate insiders.

Institutional Investors Weigh In On Avalo Therapeutics

Institutional investors have recently added to or reduced their stakes in the business. AlphaCentric Advisors LLC purchased a new position in Avalo Therapeutics during the 1st quarter worth $174,000. Glenmede Trust Co. NA grew its position in Avalo Therapeutics by 25.8% in the 1st quarter. Glenmede Trust Co. NA now owns 25,730 shares of the company’s stock valued at $384,000 after buying an additional 5,280 shares during the last quarter. Dimensional Fund Advisors LP acquired a new position in Avalo Therapeutics in the 1st quarter valued at $607,000. Artia Global Partners LP acquired a new stake in Avalo Therapeutics in the fourth quarter valued at about $755,000. Finally, Sei Investments Co. purchased a new stake in Avalo Therapeutics in the 1st quarter valued at approximately $849,000. Hedge funds and other institutional investors own 87.06% of the company’s stock.

About Avalo Therapeutics

Avalo Therapeutics, Inc is a clinical-stage biotechnology company focused on developing therapies for immune-mediated diseases. The company’s research strategy centers on addressing conditions in which abnormal immune-system activity contributes to inflammation and tissue damage.

Avalo’s lead product candidate is AVTX-009, a fully human monoclonal antibody designed to neutralize interleukin-1 beta, a pro-inflammatory cytokine involved in several inflammatory disorders. The company is evaluating AVTX-009 in clinical development for hidradenitis suppurativa, a chronic inflammatory skin condition, and may pursue additional indications in which interleukin-1 beta plays a role.

The company was formerly known as Cerecor Inc and adopted the Avalo Therapeutics name as it shifted its strategic focus toward immunology and inflammation.