Phathom Pharmaceuticals (NASDAQ:PHAT) Shares Decline 8.9% - What's Next?

On Friday, shares of Phathom Pharmaceuticals, Inc. (NASDAQ:PHAT) experienced a significant drop, falling by 8.9% during trading. The stock reached a low of $16.79 before closing at $16.86. During the day, 717,235 shares changed hands, marking a 13% decrease from the average trading volume of 821,795 shares. The previous closing price for Phathom Pharmaceuticals was $18.50.

Analysts' Opinions

Recent evaluations from various brokerages have highlighted differing perspectives on PHAT shares. On September 13th, Needham & Company LLC maintained a "buy" rating while assigning a price target of $26.00. Meanwhile, on August 9th, The Goldman Sachs Group raised their price target from $10.00 to $12.00, giving the stock a "neutral" rating. HC Wainwright also kept a "buy" rating and set a higher price target of $28.00 on August 12th.

Phathom Pharmaceuticals' Market Performance

Phathom Pharmaceuticals holds a market capitalization of approximately $1.00 billion, with a price-to-earnings (PE) ratio of -3.29 and a beta of 0.72. The stock's fifty-day simple moving average sits at $17.28, while the 200-day average is $13.24. The latest quarterly earnings report, released on August 8th, showed the company posted a loss of $1.35 per share, which was slightly better than the anticipated loss of $1.39. Revenue for the quarter came in at $7.32 million, exceeding expectations of $5.65 million. Analysts predict that Phathom Pharmaceuticals will report an annual EPS of -6.03.

Institutional Investor Activity

Many institutional investors have been actively adjusting their positions in Phathom Pharmaceuticals. Huntington National Bank increased its stake by 62.2% in the third quarter, owning 1,471 shares valued at $27,000 after acquiring 564 additional shares. Mirae Asset Global Investments Co. Ltd. also raised its holdings by 41.3% during the same period, now owning 2,470 shares worth $43,000. Furthermore, US Bancorp DE increased its position by 28.6%, ending up with 5,248 shares valued at $95,000 after a 1,166 share purchase. The Manufacturers Life Insurance Company enhanced its stake by 10.6%, now possessing 13,941 shares worth $144,000, while Inspirion Wealth Advisors LLC boosted its holdings by 4.3%, totaling 36,634 shares valued at $377,000. Overall, institutional investors and hedge funds own about 99.01% of the company's shares.

About Phathom Pharmaceuticals

Phathom Pharmaceuticals focuses on developing and marketing treatments for gastrointestinal diseases. The company has obtained rights in the U.S., Europe, and Canada for a promising investigational drug known as a potassium-competitive acid blocker (P-CAB), designed to inhibit acid production within the stomach.

Investment Considerations

If you're contemplating an investment in Phathom Pharmaceuticals, it may be beneficial to weigh the insights of leading analysts who have identified five other stocks they find more favorable at present. Although there is a "Moderate Buy" rating on Phathom Pharmaceuticals from analysts, these alternative options might offer stronger potential returns.

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