Is there a cornucopia of returns in Cerus Corporation (CERS) And Corbus Pharmaceuticals Holdings Inc. (CRBP)

Cerus Corporation (NASDAQ: CERS) shares are 50.95% up in the year-to-date (YTD) period and have moved 1.76% or $0.11 higher in the latest trading session. However, stock’s trailing 12-month performance remains nearly +135.06% lower. Comparatively, the stock is -19.77% down YTD and -0.62% over the trailing 3-month period. If we look at the shorter duration, its week performance is -6.73% and -10.66% over the month.

Analyst Recommendations

On February 26, 2020, BTIG Research recommended the CERS stock is a Buy, while earlier, Cantor Fitzgerald had Resumed the stock as a Overweight on June 16, 2020. 4 analysts offering the recommendations for the stock have a consensus rating of 1.50 to suggest that the CERS stock is a “Strong Buy. 0 of the 4 analysts rate the stock as a “Sell”, while 0 has rated it as “Underweight”. 4 recommend buying, with 0 rating it as an Overweight.

The stock currently trades at $6.37 and analysts tracking its performance over the next 12 months have a consensus estimate price target of $9.13. The forecasts give the Cerus Corporation stock a price target range of $10.00 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 36.3% or 20.38%.

Earnings Forecast

Analysts estimate the earnings to increase 18.20% in the current quarter to -$0.1, up from the -$0.13 reported in the same quarter a year ago. For the current year, earnings should grow to an average of -$0.4, up 20.40% from -$0.51 reported last year. Analysts also offered guidance for the next financial quarter, with their average projected EPS at between -$0.13 and -$0.08. Wall Street estimates earnings per share to be at an average of -$0.34 for the next year.

Insider Transactions Summary

According to SEC data, total insider shares purchases at the company stands at 56 over the last 12 months, while SEC filings reveal that there have been 35 insider sales over the same period. Insiders have purchases 1,740,208 shares while those sold by company executives and officers stand at 905,295. The last 3 months have seen insiders trade a total of 709,596 and 554,494 in purchases and sales respectively.

ANDERSON TIMOTHY B, a Director at the company, sold 16,008 shares worth $0.13 million at $7.90 per share on Aug 24. The Chief Medical Officer had earlier sold another 100,000 CERS shares valued at $0.79 million on Aug 24. The shares were sold at $7.90 per share. Moore Carol (SVP Reg. & Quality) sold 21,621 shares at $6.88 per share on Aug 12 for a total of $0.15 million while Green Kevin Dennis, (Chief Financial Officer) sold 68,585 shares on Aug 10 for $0.48 million with each share fetching $6.96.

Corbus Pharmaceuticals Holdings Inc. (NASDAQ:CRBP), on the other hand, is trading around $9.28 with a market cap of $712.16M and analyst research firms have a positive stance on its shares. Some analysts are even forecasting -$1.77 per share in earnings this year on a short term (1 year) basis.

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

Company balance sheet and cash flow

CRBP’s operating expenses over the recent quarter were at -$38.14 million. This represented a 13435.31% of the company’s total revenues which amounted $0.29 million. With this in place, we can see that the company’s diluted EPS declined -$0.52 on the year-over-year period, growing to $0.03 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 $98.12 million from $65.2 million over the previous quarter. The cash flow from operating activities totaled -$54.21 million, significantly lower than the -$6.07 million reported in the year-ago quarter. The company’s free cash flow for the quarter was -$54.69 million.

Insider activity

Insiders have transacted a total of 4 times at Corbus Pharmaceuticals Holdings Inc. over the last 6 months, with insider purchases undertaken 4 times and accounting for 24,746 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 4.0 shares. Insiders now hold a total of 4.03M shares after the latest sales, with 0.60% net shares purchased.

Major holders

Insiders own 0.40% of the company shares, while shares held by institutions stand at 57.90% with a share float percentage of 73.07M. Investors are also buoyed by the number of investors in a company, with Corbus Pharmaceuticals Holdings Inc. having a total of 141 institutions that hold shares in the company. The top two institutional holders are Blackrock Inc. with over 6.27 million shares worth more than $52.63 million. As of Jun 29, 2020, Blackrock Inc. held 7.68% of shares outstanding.

The other major institutional holder is Knoll Capital Management, L.P., with the investment firm holding over 5.05 million shares as of Jun 29, 2020. The firm’s total holdings are worth over $42.33 million and represent 6.18% of shares outstanding.