Axsome Therapeutics (NASDAQ:AXSM) Stock Falls 6.8% – Time to Sell?

Axsome Therapeutics, Inc. (NASDAQ:AXSM) shares were down 6.8% on Friday. The stock traded as low as $145.57 and last traded at $145.5010. 314,583 shares changed hands during trading, a decline of 58% from the average session volume of 757,154 shares. The stock had previously closed at $156.07.

Analyst Upgrades and Downgrades

Several research firms have commented on AXSM. Weiss Ratings reissued a “sell (d-)” rating on shares of Axsome Therapeutics in a report on Thursday, October 15th. BMO Capital Markets started coverage on shares of Axsome Therapeutics in a research report on Monday, July 20th. They set an “outperform” rating and a $310.00 price target on the stock. Guggenheim lifted their price objective on shares of Axsome Therapeutics from $260.00 to $275.00 and gave the company a “buy” rating in a research note on Tuesday, August 11th. Morgan Stanley lowered their price objective on shares of Axsome Therapeutics from $251.00 to $247.00 and set an “equal weight” rating for the company in a research report on Friday, September 25th. Finally, HC Wainwright restated a “buy” rating on shares of Axsome Therapeutics in a research note on Friday, September 25th. One investment analyst has rated the stock with a Strong Buy rating, seventeen have given a Buy rating, two have given a Hold rating and one has assigned a Sell rating to the company. According to data from MarketBeat, Axsome Therapeutics currently has a consensus rating of “Moderate Buy” and a consensus price target of $275.74.

Axsome Therapeutics Trading Down 6.4%

The company has a market capitalization of $7.65 billion, a price-to-earnings ratio of -38.94 and a beta of 0.86. The company has a current ratio of 1.43, a quick ratio of 1.34 and a debt-to-equity ratio of 1.52. The business’s 50 day moving average price is $193.08 and its two-hundred day moving average price is $212.61.

Axsome Therapeutics (NASDAQ:AXSM) last issued its earnings results on Monday, August 10th. The company reported ($0.99) earnings per share for the quarter, missing analysts’ consensus estimates of ($0.89) by ($0.10). The company had revenue of $218.38 million during the quarter, compared to analyst estimates of $221.11 million. Axsome Therapeutics had a negative net margin of 24.68% and a negative return on equity of 265.55%. On average, equities analysts predict that Axsome Therapeutics, Inc. will post -2.96 earnings per share for the current fiscal year.

Insiders Place Their Bets

In other news, CEO Herriot Tabuteau sold 45,004 shares of the stock in a transaction on Wednesday, August 5th. The stock was sold at an average price of $212.01, for a total value of $9,541,298.04. Following the completion of the transaction, the chief executive officer directly owned 7,229 shares in the company, valued at approximately $1,532,620.29. This represents a 86.16% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, COO Mark Jacobson sold 10,000 shares of the firm’s stock in a transaction on Thursday, September 3rd. The shares were sold at an average price of $208.65, for a total value of $2,086,500.00. Following the sale, the chief operating officer directly owned 10,000 shares in the company, valued at approximately $2,086,500. This trade represents a 50.00% decrease in their position. The SEC filing for this sale provides additional information. Insiders sold a total of 59,664 shares of company stock valued at $12,624,805 over the last quarter. 20.60% of the stock is owned by corporate insiders.

Institutional Trading of Axsome Therapeutics

Several hedge funds and other institutional investors have recently made changes to their positions in AXSM. Hollencrest Capital Management grew its holdings in shares of Axsome Therapeutics by 400.0% during the first quarter. Hollencrest Capital Management now owns 200 shares of the company’s stock worth $34,000 after purchasing an additional 160 shares during the last quarter. ABS Direct Equity Fund LLC bought a new position in Axsome Therapeutics in the 2nd quarter valued at approximately $60,000. Silvant Capital Management LLC bought a new position in Axsome Therapeutics in the 2nd quarter valued at approximately $66,000. Caitong International Asset Management Co. Ltd acquired a new stake in Axsome Therapeutics during the 4th quarter worth approximately $76,000. Finally, GAMMA Investing LLC boosted its position in Axsome Therapeutics by 19.9% during the 3rd quarter. GAMMA Investing LLC now owns 416 shares of the company’s stock worth $77,000 after buying an additional 69 shares during the period. 81.49% of the stock is currently owned by institutional investors.

About Axsome Therapeutics

Axsome Therapeutics, Inc is a biopharmaceutical company focused on developing and commercializing therapies for central nervous system (CNS) disorders. Founded in 2012 and headquartered in New York, the company develops medicines for conditions with significant unmet medical needs, including depression, narcolepsy, excessive daytime sleepiness, and other neurological disorders.

Axsome’s commercial products include Auvelity (dextromethorphan and bupropion), an oral treatment approved in the United States for major depressive disorder in adults, and Sunosi (solriamfetol), a therapy for excessive daytime sleepiness associated with narcolepsy or obstructive sleep apnea.