Travere Therapeutics (NASDAQ:TVTX) Stock Price Down 4.2% - Should You Sell?

Travere Therapeutics, Inc. (NASDAQ:TVTX) saw its shares drop by 4.2% in trading on Tuesday. The stock hit a low of $17.81 and closed at the same price. During mid-day trading, 88,018 shares changed hands, marking a steep decline of 92% compared to the average volume of 1,071,796 shares. The previous closing price stood at $18.59.

Wall Street Analyst Opinions

Several research analysts have provided insights on Travere Therapeutics. Citigroup recently cut their price target from $23.00 to $19.00 while maintaining a "buy" rating as of September 27th. On the other hand, Guggenheim raised their price target significantly from $23.00 to $41.00, also assigning a "buy" rating on October 9th. Wells Fargo upgraded the stock from "equal weight" to "overweight," increasing their price target from $9.00 to $27.00 on October 21st. Canaccord Genuity adjusted their target from $23.00 to $22.00 and confirmed a "buy" rating on September 30th. Lastly, Wedbush lifted their target from $17.00 to $25.00, giving the stock an "outperform" rating on October 9th. Out of the analysts, one has rated the stock as a hold, with twelve considering it a buy. MarketBeat.com indicates that Travere currently holds an average rating of "Moderate Buy" with a price target of $23.67.

Travere Therapeutics Stock Overview

The firm has a debt-to-equity ratio of 24.96, with quick and current ratios of 1.68 and 1.71, respectively. The average price of the stock over the last 50 days is $18.22, while its 200-day moving average sits at $14.28. The market capitalization of Travere Therapeutics is approximately $1.36 billion, and it reports a price-to-earnings ratio of -3.82 with a beta of 0.70.

On October 31st, Travere Therapeutics announced its quarterly earnings results, revealing a loss of ($0.70) per share. This was slightly better than the consensus estimate of ($0.71) by $0.01. The company reported a negative net margin of 172.75% and a negative return on equity of 537.74%. During the quarter, Travere generated revenue of $62.90 million, surpassing analysts’ projections of $60.87 million. This reflects a year-over-year revenue increase of 69.6%. Analysts forecast that Travere Therapeutics will report an EPS of -3.94 for the current fiscal year.

Insider Activity at Travere Therapeutics

In news regarding insider trading, CAO Sandra Calvin sold 15,000 shares of the company on December 26th at an average price of $17.22, totaling $258,300. Following this transaction, she now owns 54,927 shares, valued at approximately $945,842.94, which is a 21.45% decrease in her ownership. Furthermore, insider Jula Inrig sold 2,066 shares on January 3rd at an average price of $19.10, totaling $39,460.60. Post-sale, Inrig holds 59,883 shares valued at around $1,143,765.30, indicating a 3.34% reduction in her stake. In the last 90 days, insiders have offloaded 29,596 shares valued at $527,262, and insiders currently own 3.75% of the stock.

Institutional Holdings in Travere Therapeutics

Numerous institutional investors and hedge funds have recently adjusted their holdings in Travere Therapeutics. Diversified Trust Co increased its stake by 27.5% in the fourth quarter, now holding 14,701 shares valued at $256,000 after acquiring 3,169 additional shares. Virtu Financial LLC entered a new position valued at $301,000 during the third quarter. Geode Capital Management LLC raised its shares by 3.9%, owning 1,731,045 shares valued at $24,222,000 after acquiring 64,744 shares. Two Sigma Advisers LP also increased their position by 30.2%, now owning 720,400 shares valued at around $10,078,000. Lastly, Quarry LP purchased an additional position worth approximately $105,000 in the third quarter.

About Travere Therapeutics

Travere Therapeutics, Inc. is a biotechnology company focused on discovering, developing, and delivering therapies for rare kidney and metabolic diseases. Its product lineup includes FILSPARI (sparsentan), which is a daily oral treatment targeting vital pathways involved in the progression of IgA Nephropathy. Additionally, it markets Thiola and Thiola EC (tiopronin tablets) for managing cystinuria, a genetic condition causing high cystine levels leading to recurrent kidney stones.

Is It Time to Sell Travere Therapeutics Stock?

Given the current market conditions and analyst ratings, potential investors might want to consider their options regarding Travere Therapeutics. While the stock has experienced a decrease in value, there are varying analysts' views and institutional interest that investors should weigh before making any decisions.

Travere, Therapeutics, Stock