Scholar Rock (NASDAQ:SRRK) Shares Gap Up – Here’s Why

Scholar Rock Holding Corporation (NASDAQ:SRRK) gapped up prior to trading on Tuesday . The stock had previously closed at $43.08, but opened at $47.67. Scholar Rock shares last traded at $49.5450, with a volume of 546,840 shares traded.

Analyst Upgrades and Downgrades

Several equities analysts have recently commented on SRRK shares. Citigroup upped their target price on Scholar Rock from $55.00 to $58.00 and gave the company a “buy” rating in a report on Wednesday, March 4th. Truist Financial raised their price target on Scholar Rock from $44.00 to $55.00 and gave the stock a “buy” rating in a report on Tuesday, March 3rd. Cantor Fitzgerald restated an “overweight” rating on shares of Scholar Rock in a research report on Thursday, December 11th. BMO Capital Markets upped their price objective on Scholar Rock from $50.00 to $70.00 and gave the stock an “outperform” rating in a research note on Wednesday, March 4th. Finally, UBS Group assumed coverage on Scholar Rock in a research report on Wednesday, January 7th. They issued a “buy” rating and a $60.00 target price on the stock. Four analysts have rated the stock with a Strong Buy rating, twelve have assigned a Buy rating and one has assigned a Sell rating to the company’s stock. Based on data from MarketBeat.com, Scholar Rock has a consensus rating of “Buy” and an average price target of $54.36.

Scholar Rock Price Performance

The company has a debt-to-equity ratio of 0.41, a quick ratio of 6.95 and a current ratio of 6.95. The firm has a market capitalization of $5.52 billion, a P/E ratio of -14.04 and a beta of 0.70. The business has a fifty day moving average of $45.02 and a 200-day moving average of $40.50.

Scholar Rock (NASDAQ:SRRK) last announced its quarterly earnings results on Tuesday, March 3rd. The company reported ($0.76) earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of ($0.86) by $0.10. During the same period last year, the business posted ($0.64) EPS. On average, sell-side analysts forecast that Scholar Rock Holding Corporation will post -2.42 EPS for the current fiscal year.

Insider Activity at Scholar Rock

In related news, insider Mo Qatanani sold 8,484 shares of the company’s stock in a transaction dated Monday, February 23rd. The shares were sold at an average price of $47.07, for a total value of $399,341.88. Following the completion of the sale, the insider owned 98,445 shares of the company’s stock, valued at $4,633,806.15. This represents a 7.93% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available through the SEC website. Also, General Counsel Junlin Ho sold 9,580 shares of the firm’s stock in a transaction dated Tuesday, February 17th. The shares were sold at an average price of $46.53, for a total transaction of $445,757.40. Following the transaction, the general counsel directly owned 241,545 shares in the company, valued at approximately $11,239,088.85. The trade was a 3.81% decrease in their position. The SEC filing for this sale provides additional information. Insiders have sold 207,464 shares of company stock valued at $9,157,423 in the last ninety days. Company insiders own 13.30% of the company’s stock.

Institutional Investors Weigh In On Scholar Rock

Several hedge funds and other institutional investors have recently added to or reduced their stakes in SRRK. IFP Advisors Inc boosted its stake in Scholar Rock by 294.1% during the 4th quarter. IFP Advisors Inc now owns 603 shares of the company’s stock valued at $27,000 after purchasing an additional 450 shares in the last quarter. Caitong International Asset Management Co. Ltd bought a new stake in shares of Scholar Rock in the 4th quarter worth $30,000. Summit Securities Group LLC bought a new stake in shares of Scholar Rock in the 4th quarter worth $31,000. Ramirez Asset Management Inc. acquired a new stake in shares of Scholar Rock in the third quarter valued at $37,000. Finally, EverSource Wealth Advisors LLC lifted its holdings in shares of Scholar Rock by 151.3% in the fourth quarter. EverSource Wealth Advisors LLC now owns 872 shares of the company’s stock valued at $38,000 after buying an additional 525 shares during the period. Institutional investors own 91.08% of the company’s stock.

Scholar Rock Company Profile

Scholar Rock is a clinical-stage biotechnology company focused on the discovery and development of protein therapeutics that selectively target growth factors involved in disease processes. The company’s research platform is designed to modulate endogenous growth factor activation and signaling with high specificity, aiming to restore normal biological function across a range of disorders. Scholar Rock’s approach is distinguished by its emphasis on engineering antibodies and biologics that interact with growth factor precursors or latent complexes rather than the active form, potentially offering improved safety and efficacy profiles.

The company’s lead program, SRK-015 (appercept), is an investigational monoclonal antibody targeting the activation of latent myostatin proproteins and is being evaluated for the treatment of spinal muscular atrophy (SMA).