It makes sense to watch Seres Therapeutics Inc. (MCRB) And Penn Virginia Corporation (PVAC)

Seres Therapeutics Inc. (NASDAQ: MCRB) shares are 612.46% up in the year-to-date (YTD) period and have moved -6.39% or -$1.57 lower in the latest trading session. However, stock’s trailing 12-month performance remains nearly +813.10% lower. Comparatively, the stock is -30.27% down YTD and 344.48% over the trailing 3-month period. If we look at the shorter duration, its week performance is -9.83% and 456.11% over the month.

Analyst Recommendations

On August 11, 2020, Jefferies recommended the MCRB stock is a Buy, while earlier, Piper Sandler had Initiated the stock as a Overweight on August 18, 2020. 8 analysts offering the recommendations for the stock have a consensus rating of 1.70 to suggest that the MCRB stock is a “Strong Buy. 0 of the 8 analysts rate the stock as a “Sell”, while 0 has rated it as “Underweight”. 7 recommend buying, with 0 rating it as an Overweight.

The stock currently trades at $23.01 and analysts tracking its performance over the next 12 months have a consensus estimate price target of $30.93. The forecasts give the Seres Therapeutics Inc. stock a price target range of $41.00 on the higher side while at least one analyst think the stock could plunge to a low of $24.00. The two limits represent an upside potential of 43.88% or 4.12%.

Earnings Forecast

Analysts estimate the earnings to decrease -7.70% in the current quarter to -$0.26, down from the -$0.23 reported in the same quarter a year ago. For the current year, earnings should grow to an average of -$0.97, down -15.90% from -$1.24 reported last year. Analysts also offered guidance for the next financial quarter, with their average projected EPS at between -$0.37 and -$0.19. Wall Street estimates earnings per share to be at an average of -$1.32 for the next year.

Insider Transactions Summary

According to SEC data, total insider shares purchases at the company stands at 5 over the last 12 months, while SEC filings reveal that there have been 1 insider sales over the same period. Insiders have purchases 77,000 shares while those sold by company executives and officers stand at 3,400. The last 3 months have seen insiders trade a total of 0 and 0 in purchases and sales respectively.

The insider had earlier sold another 3,400 MCRB shares valued at $13297.0 on Nov 22. The shares were sold at $3.91 per share.

Penn Virginia Corporation (NASDAQ:PVAC), on the other hand, is trading around $10.96 with a market cap of $183.51M and analyst research firms have a positive stance on its shares. Analysts predict that the stock will reach $14.30 and spell out a more modest performance – a 23.36% return. Some analysts are even forecasting $5.16 per share in earnings this year on a short term (1 year) basis.

Let us briefly look at the Penn Virginia Corporation (PVAC) financials, with a focus on its operating details as indicated in its earnings report for the last quarter.

Company balance sheet and cash flow

PVAC’s operating margin was positive on the trailing 12 months basis, remaining steady at 15.50%, while the operating expenses over the recent quarter were at $8.54 million. This represented a 81.23% of the company’s total revenues which amounted $45.48 million. With this in place, we can see that the company’s diluted EPS declined -$6.24 on the year-over-year period, growing to $3.40 as given in the last earnings report.

In terms of the balance sheet & cash flow as of (Sep 2020), the total assets figure advanced to $1.3 billion from $1.51 billion over the previous quarter. Short term investments amounted to $117.37 million while total current assets were at $186.29 million. The cash flow from operating activities totaled $128.9 million, significantly lower than the $154.36 million reported in the year-ago quarter. The company’s free cash flow for the quarter was $16.07 million.

Insider activity

Insiders have transacted a total of 0 times at Penn Virginia Corporation over the last 6 months, with insider purchases undertaken 0 times and accounting for 0 shares. Insider sales totaled 0 shares over the same period, with these deals completed in 0 transactions. Looking at these numbers, we realize that net purchases over that period are 0.0 shares. Insiders now hold a total of 109.72k shares after the latest sales, with -82.30% net shares purchased.

Major holders

Insiders own 1.10% of the company shares, while shares held by institutions stand at 73.80% with a share float percentage of 15.03M. Investors are also buoyed by the number of investors in a company, with Penn Virginia Corporation having a total of 196 institutions that hold shares in the company. The top two institutional holders are Blackrock Inc. with over 2.02 million shares worth more than $19.25 million. As of Jun 29, 2020, Blackrock Inc. held 13.31% of shares outstanding.

The other major institutional holder is Vanguard Group, Inc. (The), with the investment firm holding over 1.01 million shares as of Jun 29, 2020. The firm’s total holdings are worth over $9.61 million and represent 6.64% of shares outstanding.