Exploring Strategic Opportunities: Euronav NV (EURN), Altimmune Inc. (ALT)

Euronav NV (NYSE: EURN) shares are -27.35% down in the year-to-date (YTD) period and have moved -5.40% or -$0.52 lower in the latest trading session. However, stock’s trailing 12-month performance remains nearly +16.05% lower. Comparatively, the stock is -31.04% down YTD and -9.98% over the trailing 3-month period. If we look at the shorter duration, its week performance is -3.50% and -7.70% over the month.

Analyst Recommendations

On October 17, 2019, Stifel recommended the EURN stock is a Buy, while earlier, DNB Markets had Upgrade the stock as a Buy on May 28, 2020. 14 analysts offering the recommendations for the stock have a consensus rating of 1.40 to suggest that the EURN stock is a “Strong Buy. 1 of the 14 analysts rate the stock as a “Sell”, while 0 has rated it as “Underweight”. 12 recommend buying, with 0 rating it as an Overweight.

The stock currently trades at $9.11 and analysts tracking its performance over the next 12 months have a consensus estimate price target of $14.11. The forecasts give the Euronav NV stock a price target range of $18.00 on the higher side while at least one analyst think the stock could plunge to a low of $8.00. The two limits represent an upside potential of 49.39% or -13.87%.

Earnings Forecast

Analysts estimate the earnings to increase 4.30% in the current quarter to $0.51, up from the -$0.11 reported in the same quarter a year ago. For the current year, earnings should grow to an average of $2.77, up 42.20% from $0.55 reported last year. Analysts also offered guidance for the next financial quarter, with their average projected EPS at between $0.1 and $0.25. Wall Street estimates earnings per share to be at an average of $0.89 for the next year.

Altimmune Inc. (NASDAQ:ALT), on the other hand, is trading around $18.22 with a market cap of $650.09M and analyst research firms have a negative stance on its shares. Some analysts are even forecasting -$3.3 per share in earnings this year on a short term (1 year) basis.

Let us briefly look at the Altimmune Inc. (ALT) financials, with a focus on its operating details as indicated in its earnings report for the last quarter.

Company balance sheet and cash flow

ALT’s operating expenses over the recent quarter were at -$18.42 million. This represented a 2650.97% of the company’s total revenues which amounted $0.72 million. With this in place, we can see that the company’s diluted EPS declined -$0.94 on the year-over-year period, shrinking to -$0.26 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 $102.54 million from $54.23 million over the previous quarter. Short term investments amounted to $15.48 million while total current assets were at $87.97 million. The cash flow from operating activities totaled -$11.52 million, significantly lower than the -$5.17 million reported in the year-ago quarter. The company’s free cash flow for the quarter was -$11.56 million.

Insider activity

Insiders have transacted a total of 19 times at Altimmune Inc. over the last 6 months, with insider purchases undertaken 11 times and accounting for 2,835,173 shares. Insider sales totaled 212,091 shares over the same period, with these deals completed in 8 transactions. Looking at these numbers, we realize that net purchases over that period are 3.0 shares. Insiders now hold a total of 5.58M shares after the latest sales, with 0.00% net shares purchased.

Major holders

Insiders own 6.20% of the company shares, while shares held by institutions stand at 40.60% with a share float percentage of 23.89M. Investors are also buoyed by the number of investors in a company, with Altimmune Inc. having a total of 38 institutions that hold shares in the company.