Kiniksa Pharmaceuticals (NASDAQ:KNSA) Shares Gap Down on Disappointing Earnings

Kiniksa Pharmaceuticals, Ltd. (NASDAQ:KNSA)’s stock price gapped down prior to trading on Tuesday following a dissappointing earnings announcement. The stock had previously closed at $27.59, but opened at $21.32. Kiniksa Pharmaceuticals shares last traded at $24.92, with a volume of 127,707 shares changing hands.

The company reported ($0.18) earnings per share for the quarter, missing analysts’ consensus estimates of ($0.01) by ($0.17). Kiniksa Pharmaceuticals had a negative return on equity of 7.79% and a negative net margin of 3.10%. The firm had revenue of $112.21 million for the quarter, compared to the consensus estimate of $111.51 million. During the same period last year, the company posted ($0.20) EPS. The business’s revenue was up 67.4% on a year-over-year basis.

Wall Street Analyst Weigh In

Several research firms recently issued reports on KNSA. Jefferies Financial Group began coverage on Kiniksa Pharmaceuticals in a research note on Friday, September 13th. They set a “buy” rating and a $40.00 price objective for the company. Wedbush lifted their price target on Kiniksa Pharmaceuticals from $30.00 to $34.00 and gave the company an “outperform” rating in a research report on Tuesday, July 23rd. Finally, Evercore ISI boosted their price objective on Kiniksa Pharmaceuticals from $30.00 to $35.00 and gave the stock an “outperform” rating in a report on Wednesday. Five investment analysts have rated the stock with a buy rating, Based on data from MarketBeat, the company presently has a consensus rating of “Buy” and an average price target of $34.60.

Insiders Place Their Bets

In other news, COO Eben Tessari sold 17,500 shares of the stock in a transaction dated Tuesday, August 27th. The stock was sold at an average price of $26.91, for a total transaction of $470,925.00. Following the transaction, the chief operating officer now directly owns 119,911 shares in the company, valued at approximately $3,226,805.01. This represents a 0.00 % decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. In other news, COO Eben Tessari sold 17,500 shares of the business’s stock in a transaction that occurred on Tuesday, August 27th. The shares were sold at an average price of $26.91, for a total value of $470,925.00. Following the completion of the sale, the chief operating officer now directly owns 119,911 shares in the company, valued at approximately $3,226,805.01. The trade was a 0.00 % decrease in their position. The sale was disclosed in a legal filing with the SEC, which can be accessed through this hyperlink. Also, insider John F. Paolini sold 60,692 shares of the company’s stock in a transaction on Tuesday, September 3rd. The shares were sold at an average price of $26.12, for a total transaction of $1,585,275.04. Following the completion of the sale, the insider now directly owns 52,038 shares of the company’s stock, valued at $1,359,232.56. This trade represents a 0.00 % decrease in their position. The disclosure for this sale can be found here. Insiders sold a total of 112,692 shares of company stock valued at $2,950,315 over the last 90 days. Insiders own 54.57% of the company’s stock.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently modified their holdings of the stock. Acadian Asset Management LLC boosted its holdings in Kiniksa Pharmaceuticals by 167.8% during the 1st quarter. Acadian Asset Management LLC now owns 164,568 shares of the company’s stock valued at $3,240,000 after acquiring an additional 103,120 shares during the period. Sei Investments Co. bought a new stake in Kiniksa Pharmaceuticals in the first quarter valued at approximately $1,450,000. Dimensional Fund Advisors LP boosted its stake in shares of Kiniksa Pharmaceuticals by 31.2% during the second quarter. Dimensional Fund Advisors LP now owns 664,040 shares of the company’s stock valued at $12,398,000 after purchasing an additional 157,741 shares during the period. SG Americas Securities LLC grew its holdings in shares of Kiniksa Pharmaceuticals by 8.1% in the first quarter. SG Americas Securities LLC now owns 19,160 shares of the company’s stock worth $378,000 after purchasing an additional 1,435 shares during the last quarter. Finally, Millennium Management LLC increased its stake in shares of Kiniksa Pharmaceuticals by 159.8% in the second quarter. Millennium Management LLC now owns 621,948 shares of the company’s stock worth $11,612,000 after buying an additional 382,539 shares during the period. 53.95% of the stock is owned by institutional investors.

Kiniksa Pharmaceuticals Price Performance

The company has a market capitalization of $1.64 billion, a PE ratio of -143.81 and a beta of 0.33. The firm’s 50 day moving average is $25.57 and its 200 day moving average is $22.42.

About Kiniksa Pharmaceuticals

Kiniksa Pharmaceuticals, Ltd., a biopharmaceutical company, focuses on discovering, acquiring, developing, and commercializing therapeutic medicines for patients suffering from debilitating diseases with significant unmet medical needs worldwide. Its product candidates include ARCALYST, an interleukin-1alpha and interleukin-1beta, for the treatment of recurrent pericarditis, which is an inflammatory cardiovascular disease; Mavrilimumab, a monoclonal antibody inhibitor that completed Phase II clinical trials for the treatment of giant cell arteritis; Vixarelimab, a monoclonal antibody, that is in Phase 2b clinical trial for the treatment of prurigo nodularis, a chronic inflammatory skin condition; and KPL-404, a monoclonal antibody inhibitor of the CD40- CD154 interaction, a T-cell co-stimulatory signal critical for B-cell maturation, immunoglobulin class switching, and type 1 immune response.