A Boring Article About 2 Active Stocks: Unity Biotechnology Inc. (UBX), Magnolia Oil & Gas Corporation (MGY)

Unity Biotechnology Inc. (NASDAQ: UBX) shares are -58.11% down in the year-to-date (YTD) period and have moved -2.89% or -$0.09 lower in the latest trading session. However, stock’s trailing 12-month performance remains nearly +11.03% lower. Comparatively, the stock is -80.44% down YTD and -67.80% over the trailing 3-month period. If we look at the shorter duration, its week performance is 1.34% and -68.38% over the month.

Analyst Recommendations

On August 18, 2020, Mizuho recommended the UBX stock is a Neutral, while earlier, Morgan Stanley had Downgrade the stock as a Equal-Weight on August 18, 2020. 6 analysts offering the recommendations for the stock have a consensus rating of 2.80 to suggest that the UBX stock is a “Moderate Buy. 0 of the 6 analysts rate the stock as a “Sell”, while 0 has rated it as “Underweight”. 1 recommend buying, with 0 rating it as an Overweight.

The stock currently trades at $3.02. The forecasts give the Unity Biotechnology Inc. stock a price target range of $12.00 on the higher side while at least one analyst think the stock could plunge to a low of $4.00. The two limits represent an upside potential of 74.83% or 24.5%.

Earnings Forecast

Analysts estimate the earnings to increase 25.50% in the current quarter to -$0.5, up from the -$0.51 reported in the same quarter a year ago. Analysts also offered guidance for the next financial quarter, with their average projected EPS at between -$0.66 and -$0.47. Wall Street estimates earnings per share to be at an average of -$1.7 for the next year.

Insider Transactions Summary

According to SEC data, total insider shares purchases at the company stands at 11 over the last 12 months, while SEC filings reveal that there have been 8 insider sales over the same period. Insiders have purchases 939,326 shares while those sold by company executives and officers stand at 517,126. The last 3 months have seen insiders trade a total of 3,200 and 17,126 in purchases and sales respectively.

The President had earlier bought another 3,200 UBX shares valued at $28478.0 on Jun 05. The shares were bought at $8.90 per share.

Magnolia Oil & Gas Corporation (NYSE:MGY), on the other hand, is trading around $6.63 with a market cap of $1.62B and analyst research firms have a positive stance on its shares. Analysts predict that the stock will reach $6.52 and spell out a less modest performance – a -1.69% return. Some analysts are even forecasting -$0.04 per share in earnings this year on a short term (1 year) basis.

Let us briefly look at the Magnolia Oil & Gas Corporation (MGY) financials, with a focus on its operating details as indicated in its earnings report for the last quarter.

Company balance sheet and cash flow

MGY’s operating expenses over the recent quarter were at $102.77 million. This represented a -24.06% of the company’s total revenues which amounted $82.84 million. With this in place, we can see that the company’s diluted EPS declined -$0.11 on the year-over-year period, growing to $0.12 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 $1.41 billion from $1.49 billion over the previous quarter. The cash flow from operating activities totaled $165.84 million, significantly lower than the $309.39 million reported in the year-ago quarter. The company’s free cash flow for the quarter was $36.19 million.

Insider activity

Insiders have transacted a total of 27 times at Magnolia Oil & Gas Corporation over the last 6 months, with insider purchases undertaken 11 times and accounting for 219,185 shares. Insider sales totaled 65,770 shares over the same period, with these deals completed in 16 transactions. Looking at these numbers, we realize that net purchases over that period are -5.0 shares. Insiders now hold a total of 10.99M shares after the latest sales, with 4.80% net shares purchased.

Major holders

Insiders own 5.20% of the company shares with a share float percentage of 105.52M. Investors are also buoyed by the number of investors in a company, with Magnolia Oil & Gas Corporation having a total of 231 institutions that hold shares in the company. The top two institutional holders are EnerVest Limited with over 34.89 million shares worth more than $211.42 million. As of Jun 29, 2020, EnerVest Limited held 20.94% of shares outstanding.

The other major institutional holder is Price (T.Rowe) Associates Inc, with the investment firm holding over 16.84 million shares as of Jun 29, 2020. The firm’s total holdings are worth over $102.02 million and represent 10.11% of shares outstanding.