On October 5, 2023, it was reported that Exchange Traded Concepts LLC has increased its stake in biotechnology company Exelixis, Inc. (NASDAQ:EXEL) by 17.5% during the second quarter. According to the 13F filing with the Securities & Exchange Commission, the institutional investor now owns 44,291 shares of Exelixis’s stock, adding an additional 6,597 shares to its holdings. At the time of the filing, the value of Exchange Traded Concepts LLC’s holdings in Exelixis was estimated at $846,000.
This increase in stake comes after Exelixis announced its quarterly earnings results on August 1st. The company reported earnings per share of $0.25 for the quarter, surpassing analysts’ consensus estimate of $0.15 by $0.10. Exelixis also generated $469.85 million in revenue for the quarter, surpassing analysts’ expectations of $448.59 million. The company’s net margin was reported at 9.58% with a return on equity of 6.53%. Equities research analysts predict that Exelixis will post earnings per share of $0.72 for the current year.
In other news related to Exelixis, EVP Jeffrey Hessekiel sold 55,710 shares of the company’s stock on August 1st in a transaction worth approximately $1,093,587.30 with an average selling price of $19.63 per share. Following this sale, Hessekiel now holds 571,976 shares valued at around $11,227,888.88 in Exelixis.
An additional sale of Exelixis stock was made by EVP Dana Aftab on August 30th where she sold 4,600 shares at an average price of $22.47 per share resulting in a total value of $103,362.00. After the completion of this sale, Aftab now holds 399,943 shares of Exelixis valued at approximately $8,986,719.21.
These insider sales have contributed to a total of 150,863 shares being sold by insiders in the last quarter, with a total value of $3,059,080. Currently, insiders own 2.90% of the company’s stock.
It will be interesting to monitor how Exchange Traded Concepts LLC’s increased stake and the recent insider sales impact Exelixis’s future performance in the biotechnology sector.
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Institutional Investors Increasing Holdings in Exelixis: Confidence in Biotechnology Sector Continues to Grow
Institutional investors have been making moves in the stock market, particularly in the biotechnology sector. Xponance Inc., for instance, increased its stake in Exelixis by 0.7% during the first quarter, acquiring an additional 522 shares valued at $1,381,000. Meanwhile, M&T Bank Corp boosted its position in Exelixis by 4.9% during the same period, purchasing an additional 573 shares worth $237,000. Yousif Capital Management LLC also raised its position in Exelixis by 0.4%, adding 620 shares valued at $3,286,000.
These investments by institutional investors demonstrate a growing interest and confidence in the biotechnology industry. Panagora Asset Management Inc., for example, increased its holdings of Exelixis shares by 3.4% in the fourth quarter of last year, accumulating an additional 662 shares worth $319,000. EverSource Wealth Advisors LLC also joined the bandwagon during the first quarter of this year with a significant boost of 46.3%, adding 710 shares to its portfolio valued at $44,000.
Overall, institutional investors and hedge funds currently own approximately 93.09% of Exelixis’ stock. This level of ownership showcases a high degree of trust and belief in the company’s future prospects.
As for Exelixis itself, its stock opened at $21.76 on Thursday with a market capitalization of $6.93 billion. Its price-to-earnings ratio stands at 42.67 and it has a beta of 0.66, indicating lower volatility compared to the overall market.
The company’s historical performance is also noteworthy as it has experienced steady growth over the past year. Its twelve-month low was recorded at $14.87 and its twelve-month high reached $22.80.
Investment analysts have closely followed Exelixis’ progress and have provided their insights. Leerink Partners, for instance, issued a “market perform” rating on Exelixis’ shares in a research report published on August 8th. Morgan Stanley subsequently raised its target price on Exelixis from $21.00 to $22.00 and gave the company an “equal weight” rating on August 2nd. Stifel Nicolaus echoed a similar sentiment by reaffirming a “hold” rating and setting a target price of $23.00 for Exelixis on September 13th.
Barclays, on the other hand, reduced its target price for Exelixis from $25.00 to $24.00 but maintained their “overweight” rating for the company in their report on August 3rd.
Finally, HC Wainwright chimed in by initiating coverage of Exelixis with a “buy” rating and setting a target price of $28.00 in their report released on September 26th.
These various ratings indicate moderate to strong positive sentiments towards Exelixis’ stock, with most analysts recommending buying or holding shares in the company.
Based on data from Bloomberg, the consensus rating for Exelixis is classified as “Moderate Buy,” reflecting overall optimistic views among analysts covering the stock.
In conclusion, institutional investors continue to show confidence in Exelixis, making strategic moves to increase their holdings in the biotechnology company. The market performance and analyst ratings further support this sentiment, highlighting the potential growth prospects of Exelixis within the industry.
