Incyte (NASDAQ:INCY) Trading 6.6% Higher Following Analyst Upgrade

Shares of Incyte Corporation (NASDAQ:INCY) shot up 6.6% on Wednesday after HC Wainwright raised their price target on the stock from $135.00 to $140.00. HC Wainwright currently has a buy rating on the stock. Incyte traded as high as $108.58 and last traded at $110.0580. 494,037 shares traded hands during mid-day trading, a decline of 71% from the average session volume of 1,699,693 shares. The stock had previously closed at $103.23.

Other research analysts also recently issued reports about the stock. Weiss Ratings raised shares of Incyte from a “hold (c+)” rating to a “buy (b-)” rating in a research report on Wednesday, April 1st. Morgan Stanley set a $102.00 target price on shares of Incyte in a report on Wednesday, February 11th. Wells Fargo & Company decreased their target price on shares of Incyte from $107.00 to $101.00 and set an “equal weight” rating for the company in a research note on Wednesday, February 11th. TD Cowen reissued a “hold” rating on shares of Incyte in a report on Tuesday. Finally, Sanford C. Bernstein initiated coverage on Incyte in a research report on Thursday, May 21st. They issued a “market perform” rating and a $99.00 price target on the stock. Eight investment analysts have rated the stock with a Buy rating, thirteen have assigned a Hold rating and one has given a Sell rating to the stock. According to MarketBeat, the company has a consensus rating of “Hold” and an average target price of $105.10.

Insider Activity

In other news, insider Pablo J. Cagnoni sold 18,667 shares of the business’s stock in a transaction dated Friday, April 17th. The shares were sold at an average price of $96.50, for a total transaction of $1,801,365.50. Following the transaction, the insider directly owned 262,692 shares in the company, valued at $25,349,778. The trade was a 6.63% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. 16.20% of the stock is currently owned by company insiders.

Key Stories Impacting Incyte

Here are the key news stories impacting Incyte this week:

• Positive Sentiment: Incyte announced it will acquire Vega Therapeutics for up to $2 billion, adding a late-stage von Willebrand disease candidate and expanding its hematology pipeline ahead of future revenue pressure from Jakafi’s patent expiry. Article Title
• Positive Sentiment: H.C. Wainwright raised its price target on Incyte to $140 from $135 and reiterated a Buy rating, citing potential synergies from the Vega acquisition. Article Title
• Positive Sentiment: Another report also highlighted the Vega deal as a growth move, noting the upfront $1.25 billion payment and the drug’s blockbuster potential in rare bleeding disorders. Article Title
• Neutral Sentiment: Shareholders approved the company’s board, executive pay, and auditor choices at the annual meeting, removing a governance overhang but creating no major new catalyst. Article Title
• Neutral Sentiment: Incyte also presented at the Goldman Sachs Global Healthcare Conference, which may have reinforced management’s strategic outlook but did not include a headline-changing announcement. Article Title
• Negative Sentiment: Some investors may view the acquisition as expensive, since Incyte is paying a large amount for a pipeline asset that still carries development and execution risk. Article Title

Institutional Trading of Incyte

Several hedge funds have recently modified their holdings of the business. Norges Bank purchased a new position in Incyte in the fourth quarter worth $122,893,000. Caisse de depot et placement du Quebec boosted its position in shares of Incyte by 264.5% during the 3rd quarter. Caisse de depot et placement du Quebec now owns 1,498,013 shares of the biopharmaceutical company’s stock worth $127,046,000 after purchasing an additional 1,087,091 shares in the last quarter. Marshall Wace LLP grew its stake in shares of Incyte by 6,586.4% during the 4th quarter. Marshall Wace LLP now owns 1,072,491 shares of the biopharmaceutical company’s stock worth $105,930,000 after purchasing an additional 1,056,451 shares during the period. Wellington Management Group LLP increased its holdings in shares of Incyte by 3,406.8% in the 4th quarter. Wellington Management Group LLP now owns 739,378 shares of the biopharmaceutical company’s stock valued at $73,028,000 after purchasing an additional 718,294 shares in the last quarter. Finally, SEB Asset Management AB purchased a new position in shares of Incyte in the 1st quarter valued at about $60,817,000. 96.97% of the stock is owned by institutional investors and hedge funds.

Incyte Price Performance

The stock has a market cap of $21.90 billion, a price-to-earnings ratio of 15.56, a PEG ratio of 0.98 and a beta of 0.79. The company’s 50 day moving average is $96.92 and its 200 day moving average is $99.05. The company has a debt-to-equity ratio of 0.01, a current ratio of 3.68 and a quick ratio of 3.60.

Incyte (NASDAQ:INCY) last issued its earnings results on Tuesday, April 28th. The biopharmaceutical company reported $1.81 earnings per share for the quarter, topping the consensus estimate of $1.38 by $0.43. Incyte had a net margin of 26.71% and a return on equity of 26.66%. The company had revenue of $1.27 billion for the quarter, compared to analyst estimates of $1.22 billion. During the same period in the prior year, the business posted $1.16 earnings per share. The firm’s revenue for the quarter was up 20.9% compared to the same quarter last year. Research analysts forecast that Incyte Corporation will post 6.65 earnings per share for the current fiscal year.

About Incyte

Incyte Corporation is a Wilmington, Delaware–based biopharmaceutical company focused on the discovery, development and commercialization of novel therapies in oncology and inflammation. Since its founding in 2002, Incyte has grown from a small research organization into a global enterprise, advancing a portfolio of internally developed and partnered assets. The company’s research and development efforts center on small-molecule drugs and biologics that modulate critical signaling pathways implicated in cancer, autoimmune disorders and rare diseases.

The company’s flagship product is Jakafi® (ruxolitinib), a Janus kinase (JAK) inhibitor approved for the treatment of myelofibrosis and polycythemia vera.