Prime Medicine (NASDAQ:PRME) Shares Gap Up Following Better-Than-Expected Earnings

Prime Medicine, Inc. (NASDAQ:PRME)’s share price gapped up before the market opened on Friday following a better than expected earnings announcement. The stock had previously closed at $3.89, but opened at $4.05. Prime Medicine shares last traded at $4.2340, with a volume of 648,466 shares traded.

The company reported ($0.22) earnings per share for the quarter, topping analysts’ consensus estimates of ($0.23) by $0.01. The company had revenue of $4.21 million during the quarter. Prime Medicine had a negative return on equity of 188.27% and a negative net margin of 4,613.11%.

Analysts Set New Price Targets

PRME has been the subject of a number of recent analyst reports. HC Wainwright reaffirmed a “buy” rating and set a $8.00 target price on shares of Prime Medicine in a research report on Monday, August 10th. Chardan Capital reissued a “buy” rating and issued a $7.00 price target on shares of Prime Medicine in a research report on Friday, September 25th. Wall Street Zen upgraded shares of Prime Medicine from a “sell” rating to a “hold” rating in a research note on Saturday, October 31st. Jefferies Financial Group reaffirmed a “market outperform” rating on shares of Prime Medicine in a report on Monday, September 28th. Finally, Citigroup reaffirmed a “market outperform” rating on shares of Prime Medicine in a report on Friday, September 25th. One equities research analyst has rated the stock with a Strong Buy rating, seven have assigned a Buy rating and one has assigned a Sell rating to the company’s stock. According to MarketBeat, the company has a consensus rating of “Moderate Buy” and an average target price of $7.86.

Institutional Investors Weigh In On Prime Medicine

Hedge funds have recently made changes to their positions in the stock. Mirae Asset Global Investments Co. Ltd. bought a new stake in shares of Prime Medicine during the third quarter valued at approximately $28,000. Royal Bank of Canada lifted its position in Prime Medicine by 89.3% in the first quarter. Royal Bank of Canada now owns 9,254 shares of the company’s stock worth $32,000 after purchasing an additional 4,365 shares during the period. Wealthfront Advisers LLC bought a new position in Prime Medicine in the first quarter worth $36,000. Kingsview Wealth Management LLC acquired a new stake in Prime Medicine during the second quarter worth $37,000. Finally, Sequoia Financial Advisors LLC acquired a new stake in Prime Medicine during the first quarter worth $41,000. Institutional investors own 70.37% of the company’s stock.

Prime Medicine Price Performance

The stock has a market cap of $759.62 million, a price-to-earnings ratio of -3.97 and a beta of 2.14. The stock’s 50 day simple moving average is $3.69 and its two-hundred day simple moving average is $3.51.

About Prime Medicine

Prime Medicine is a biotechnology company developing genetic therapies for diseases caused by genetic mutations. Its research focuses on prime editing, a gene-editing technology designed to make targeted changes to DNA, including substitutions, insertions and deletions. The company is working to apply its platform to potential treatments for a range of serious conditions. Its programs are in development, and Prime Medicine does not currently market approved therapies. Founded in 2019, Prime Medicine is based in Cambridge, Massachusetts.