Orexigen Therapeutics Inc. (NASDAQ:OREX) was upgraded by Zacks Investment Research from a “sell” rating to a “hold” rating in a research report issued to clients and investors on Wednesday.
According to Zacks, “Orexigen’s sole marketed drug, Contrave, targets the obesity market which represents immense commercial potential. Low rates of penetration and awareness and the lack of safe and effective treatment options make the market highly lucrative. Contrave could bring in multi-million dollar sales for the company. We are positive on the company’s collaboration agreement with Valeant for the commercialization of the drug. However, Contrave sales are yet to pick up and Orexigen’s dependence on Contrave for growth and lack of pipeline candidates is concerning. Contrave is facing a patent challenge as well. Estimates have gone down ahead of the company’s Q3 earnings release. The company has an impressive track record of earnings surprises in the recent quarters.”
Orexigen Therapeutics (NASDAQ:OREX) traded up 0.67% during midday trading on Wednesday, reaching $3.00. The company’s stock had a trading volume of 44,467 shares. The firm’s market cap is $43.76 million. The company’s 50-day moving average is $3.53 and its 200 day moving average is $4.14. Orexigen Therapeutics has a 12-month low of $2.88 and a 12-month high of $34.40.
Orexigen Therapeutics (NASDAQ:OREX) last issued its quarterly earnings data on Thursday, August 4th. The biopharmaceutical company reported ($1.73) earnings per share for the quarter, missing the Thomson Reuters’ consensus estimate of ($1.47) by $0.26. Orexigen Therapeutics had a negative return on equity of 380.26% and a negative net margin of 275.98%. The company had revenue of $7.79 million for the quarter, compared to the consensus estimate of $6.88 million. During the same period in the previous year, the firm earned ($0.18) earnings per share. The company’s revenue was up 50.0% compared to the same quarter last year. Equities analysts forecast that Orexigen Therapeutics will post ($6.38) earnings per share for the current year.
Several hedge funds and other institutional investors have recently added to or reduced their stakes in the stock. KCG Holdings Inc. raised its stake in shares of Orexigen Therapeutics by 231.5% in the second quarter. KCG Holdings Inc. now owns 264,713 shares of the biopharmaceutical company’s stock worth $114,000 after buying an additional 184,861 shares during the last quarter. Renaissance Technologies LLC increased its position in shares of Orexigen Therapeutics by 34.8% in the first quarter. Renaissance Technologies LLC now owns 2,381,100 shares of the biopharmaceutical company’s stock worth $1,340,000 after buying an additional 614,900 shares during the last quarter. Finally, BVF Inc. IL acquired a new position in shares of Orexigen Therapeutics during the second quarter worth about $2,258,000.
Orexigen Therapeutics Company Profile
Orexigen Therapeutics, Inc is a biopharmaceutical company. The Company is focused on the treatment of obesity. The Company’s product, Contrave, is approved in the United States by the United States Food and Drug Administration as an adjunct to a reduced-calorie diet and increased physical activity for chronic weight management in adults with an initial body mass index (BMI) of 30 kilograms per square meter or greater (obese) or 27 kilograms per square meter or greater (overweight) in the presence of a weight-related comorbid condition.
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