Analysts Advise Caution on LAVA Therapeutics Stock with “Reduce” Rating

Analysts have issued a consensus rating of “Reduce” for LAVA Therapeutics N.V. (NASDAQ:LVTX), reflecting caution regarding the company’s stock performance. According to a report by Marketbeat Ratings, of the seven analysts currently covering LAVA Therapeutics, one has recommended selling the stock, while six others have assigned a hold recommendation. The average price target for the stock over the next year is estimated at $2.6850.

Several key adjustments have been made by research analysts in recent weeks. On August 5, Jefferies Financial Group downgraded LAVA Therapeutics from a “buy” to a “hold” rating, slashing their target price from $3.00 to $1.50. Shortly thereafter, on October 8, Weiss Ratings reiterated a “sell (d-)” rating for the company. In another report from the same day, HC Wainwright lowered its price objective from $1.50 to $1.24, designating a “neutral” rating.

Institutional Investors Adjust Positions

Institutional investors have also been active in modifying their stakes in LAVA Therapeutics. In the first quarter, BML Capital Management LLC established a new position valued at approximately $2.49 million. Other notable acquisitions include XTX Topco Ltd and Lepercq De Neuflize Asset Management LLC, which invested $31,000 and $29,000, respectively. Additionally, Rangeley Capital LLC acquired a position worth $36,000 during the second quarter.

As of Thursday, LAVA Therapeutics shares opened at $1.60, marking a slight decline of 0.6%. The company’s stock performance reveals a 50-day moving average of $1.57 and a two-hundred-day moving average of $1.45. With a market capitalization of $42.10 million and a price-to-earnings ratio of -1.86, the stock has a 12-month range between $0.85 and $2.00.

Recent Earnings Report Highlights Challenges

LAVA Therapeutics recently released its quarterly earnings results on November 6, 2023. The company reported an earnings per share (EPS) of ($0.27), falling short of the consensus estimate of ($0.23) by $0.04. Analysts anticipate the company will post an EPS of ($1.13) for the current year.

LAVA Therapeutics is a clinical-stage immuno-oncology firm that focuses on developing innovative cancer treatments. Its Gammabody platform aims to create a range of bispecific antibodies designed to harness the power of gamma delta T cells, thereby stimulating an anti-tumor immune response to improve patient outcomes.

As the company navigates these challenging conditions, investors and analysts will be closely watching its next moves in the competitive landscape of cancer therapeutics.