Harrow (NASDAQ:HROW) Shares Gap Up Following Better-Than-Expected Earnings

Shares of Harrow, Inc. (NASDAQ:HROW) gapped up prior to trading on Tuesday following a stronger than expected earnings report. The stock had previously closed at $27.47, but opened at $33.06. Harrow shares last traded at $31.8410, with a volume of 590,559 shares changing hands.

The company reported $0.25 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.19 by $0.06. Harrow had a negative return on equity of 38.00% and a negative net margin of 13.51%. The firm had revenue of $99.30 million during the quarter, compared to the consensus estimate of $98.59 million.

Wall Street Analyst Weigh In

HROW has been the topic of several analyst reports. Weiss Ratings reaffirmed a “sell (e+)” rating on shares of Harrow in a research note on Friday, October 16th. Zacks Research lowered shares of Harrow from a “hold” rating to a “strong sell” rating in a research report on Tuesday, November 3rd. Wall Street Zen raised shares of Harrow from a “sell” rating to a “hold” rating in a research note on Saturday, August 15th. BTIG Research reissued a “buy” rating and set a $63.00 price objective on shares of Harrow in a research note on Wednesday, October 7th. Finally, Leerink Partners began coverage on shares of Harrow in a research report on Wednesday, September 9th. They set an “outperform” rating and a $45.00 target price on the stock. Seven equities research analysts have rated the stock with a Buy rating, one has given a Hold rating and two have issued a Sell rating to the company. According to MarketBeat, the company has an average rating of “Moderate Buy” and a consensus price target of $66.17.

Insider Buying and Selling

In other news, insider Amir Shojaei sold 11,250 shares of the company’s stock in a transaction dated Friday, August 14th. The shares were sold at an average price of $40.00, for a total transaction of $450,000.00. Following the completion of the transaction, the insider owned 11,250 shares of the company’s stock, valued at $450,000. This represents a 50.00% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is available through this link. 12.80% of the stock is owned by company insiders.

Institutional Investors Weigh In On Harrow

A number of institutional investors have recently bought and sold shares of the stock. Bank of America Corp DE acquired a new position in shares of Harrow during the second quarter valued at approximately $4,565,000. Dimensional Fund Advisors LP raised its holdings in Harrow by 56.4% during the first quarter. Dimensional Fund Advisors LP now owns 579,520 shares of the company’s stock worth $20,428,000 after purchasing an additional 208,972 shares in the last quarter. FirstWave Capital Management LLC lifted its position in Harrow by 47.3% in the second quarter. FirstWave Capital Management LLC now owns 211,981 shares of the company’s stock worth $9,003,000 after purchasing an additional 68,058 shares during the period. Luxor Capital Group LP lifted its position in Harrow by 22.0% in the first quarter. Luxor Capital Group LP now owns 1,119,400 shares of the company’s stock worth $39,470,000 after purchasing an additional 201,859 shares during the period. Finally, Rice Hall James & Associates LLC acquired a new stake in Harrow in the second quarter worth approximately $16,459,000. 72.76% of the stock is currently owned by hedge funds and other institutional investors.

Harrow Trading Up 15.9%

The business has a 50 day simple moving average of $31.43 and a 200-day simple moving average of $37.82. The company has a debt-to-equity ratio of 19.70, a quick ratio of 2.08 and a current ratio of 2.24. The stock has a market capitalization of $1.19 billion, a P/E ratio of -31.66 and a beta of 0.18.

Harrow Company Profile

Harrow is a pharmaceutical company focused on developing, acquiring and commercializing treatments for eye conditions. Its portfolio includes prescription ophthalmic medicines used in areas such as dry eye disease, eye inflammation and pain management, as well as products used in eye surgery and clinical settings.

The company markets branded products including VEVYE, a treatment for dry eye disease, and IHEEZO, an ophthalmic anesthetic gel. Through its ImprimisRx subsidiary, Harrow also provides compounded medications and related services for ophthalmology practices and patients.

Harrow, formerly known as Harrow Health, is headquartered in Nashville, Tennessee, and primarily serves the U.S.