This Could Be A Brutal Week For Pacific Biosciences of California Inc. (PACB), Bionano Genomics Inc. (BNGO)

Pacific Biosciences of California Inc. (NASDAQ: PACB) shares are 24.71% up in the year-to-date (YTD) period and have moved 1.42% or $0.09 higher in the latest trading session. However, stock’s trailing 12-month performance remains nearly +191.36% lower. Comparatively, the stock is -4.75% down YTD and 80.56% over the trailing 3-month period. If we look at the shorter duration, its week performance is -2.14% and 70.03% over the month.

Analyst Recommendations

On March 09, 2020, Cantor Fitzgerald recommended the PACB stock is a Overweight, while earlier, Cantor Fitzgerald had Resumed the stock as a Overweight on June 02, 2020. 4 analysts offering the recommendations for the stock have a consensus rating of 2.50 to suggest that the PACB stock is a “Moderate Buy. 0 of the 4 analysts rate the stock as a “Sell”, while 0 has rated it as “Underweight”. 2 recommend buying, with 0 rating it as an Overweight.

The stock currently trades at $6.41 and analysts tracking its performance over the next 12 months have a consensus estimate price target of $6.33. The forecasts give the Pacific Biosciences of California Inc. stock a price target range of $8.00 on the higher side while at least one analyst think the stock could plunge to a low of $5.00. The two limits represent an upside potential of 19.88% or -28.2%.

Earnings Forecast

Analysts estimate the earnings to increase 16.70% in the current quarter to -$0.14, up from the -$0.19 reported in the same quarter a year ago. For the current year, earnings should grow to an average of -$0.11, down -12.40% from -$0.55 reported last year. Analysts also offered guidance for the next financial quarter, with their average projected EPS at between -$0.13 and $0.46. Wall Street estimates earnings per share to be at an average of -$0.48 for the next year.

Insider Transactions Summary

According to SEC data, total insider shares purchases at the company stands at 9 over the last 12 months, while SEC filings reveal that there have been 7 insider sales over the same period. Insiders have purchases 505,000 shares while those sold by company executives and officers stand at 954,565. The last 3 months have seen insiders trade a total of 110,000 and 934,197 in purchases and sales respectively.

Hunkapiller Michael, a CEO & President at the company, sold 259,164 shares worth $1.72 million at $6.63 per share on Aug 24. The CEO & President had earlier sold another 228,632 PACB shares valued at $1.47 million on Aug 25. The shares were sold at $6.44 per share. Hunkapiller Michael (CEO & President) sold 189,847 shares at $6.57 per share on Aug 21 for a total of $1.25 million while Hunkapiller Michael, (CEO & President) sold 256,554 shares on Aug 20 for $1.66 million with each share fetching $6.47.

Bionano Genomics Inc. (NASDAQ:BNGO), on the other hand, is trading around $0.62 with a market cap of $87.20M and analyst research firms have a negative stance on its shares. Some analysts are even forecasting -$0.33 per share in earnings this year on a short term (1 year) basis.

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

Company balance sheet and cash flow

BNGO’s operating expenses over the recent quarter were at $8.62 million. This represented a -629.02% of the company’s total revenues which amounted $1.18 million. With this in place, we can see that the company’s diluted EPS declined -$0.09 on the year-over-year period, shrinking to -$0.71 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 $27.2 million from $19.1 million over the previous quarter. The cash flow from operating activities totaled -$15.25 million, significantly lower than the -$12.87 million reported in the year-ago quarter. The company’s free cash flow for the quarter was -$15.25 million.

Insider activity

Insiders have transacted a total of 1 times at Bionano Genomics Inc. over the last 6 months, with insider purchases undertaken 1 times and accounting for 45,000 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 1.0 shares. Insiders now hold a total of 14.42M shares after the latest sales, with 0.30% net shares purchased.

Major holders

Insiders own 10.41% of the company shares, while shares held by institutions stand at 3.50% with a share float percentage of 136.15M. Investors are also buoyed by the number of investors in a company, with Bionano Genomics Inc. having a total of 21 institutions that hold shares in the company. The top two institutional holders are Sio Capital Management, LLC with over 1.55 million shares worth more than $0.79 million. As of Jun 29, 2020, Sio Capital Management, LLC held 1.12% of shares outstanding.

The other major institutional holder is Bank Julius Baer & Co. Ltd, Zurich, with the investment firm holding over 0.75 million shares as of Jun 29, 2020. The firm’s total holdings are worth over $0.38 million and represent 0.54% of shares outstanding.