bluebird bio (NASDAQ:BLUE) was downgraded by Zacks Investment Research from a “hold” rating to a “sell” rating in a note issued to investors on Monday.

According to Zacks, “bluebird is highly dependent on Celgene for the development of its candidates. Termination of the agreement with Celgene will have a negative impact on the company's growth prospects. While the market for gene therapies promises potential, competition is stiffening in this space. Hence, we expect investors to focus on pipeline updates. The company does not have any approved products in its portfolio yet and an unfavorable outcome from any of the ongoing studies will be a huge setback. Shares have underperformed the industry in the last twelve months. Loss estimates have  widened ahead of the Q4 results. Nevertheless, bluebird’s progress with its pipeline is encouraging. bluebird has an impressive pipeline of gene therapies for genetic diseases and cancer. LentiGlobin promises potential. The company’s collaboration with Regeneron is encouraging as it also provides the company with funds.”

A number of other analysts have also weighed in on BLUE. Piper Jaffray Companies reissued a “buy” rating on shares of bluebird bio in a research note on Sunday, November 4th. Maxim Group reissued a “hold” rating on shares of bluebird bio in a research note on Monday, December 3rd. Morgan Stanley dropped their price objective on bluebird bio from $190.00 to $186.00 and set an “equal weight” rating for the company in a research note on Monday, October 15th. Cantor Fitzgerald reissued a “hold” rating and set a $134.00 price objective on shares of bluebird bio in a research note on Monday, December 3rd. Finally, ValuEngine lowered bluebird bio from a “strong-buy” rating to a “buy” rating in a research note on Tuesday, October 16th. Two research analysts have rated the stock with a sell rating, eight have assigned a hold rating, fifteen have issued a buy rating and one has assigned a strong buy rating to the company’s stock. The stock currently has a consensus rating of “Buy” and an average price target of $183.89.

NASDAQ BLUE traded up $1.45 on Monday, reaching $132.20. 3,906 shares of the company’s stock traded hands, compared to its average volume of 539,636. bluebird bio has a 12 month low of $87.49 and a 12 month high of $236.17. The stock has a market capitalization of $7.15 billion, a P/E ratio of -17.15 and a beta of 2.62.

In related news, insider Kory James Wentworth sold 209 shares of the firm’s stock in a transaction on Monday, January 28th. The stock was sold at an average price of $125.96, for a total value of $26,325.64. Following the completion of the sale, the insider now owns 4,403 shares of the company’s stock, valued at $554,601.88. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, insider David Davidson sold 2,000 shares of the firm’s stock in a transaction on Tuesday, December 4th. The stock was sold at an average price of $121.05, for a total value of $242,100.00. Following the completion of the sale, the insider now directly owns 30,905 shares of the company’s stock, valued at approximately $3,741,050.25. The disclosure for this sale can be found here. Insiders sold 32,131 shares of company stock valued at $3,700,828 in the last ninety days. 3.00% of the stock is currently owned by insiders.

A number of hedge funds have recently made changes to their positions in the stock. Cornerstone Advisors Inc. lifted its position in bluebird bio by 1,540.0% during the fourth quarter. Cornerstone Advisors Inc. now owns 328 shares of the biotechnology company’s stock valued at $33,000 after buying an additional 308 shares during the period. Exane Derivatives purchased a new position in bluebird bio during the fourth quarter valued at $34,000. Stratos Wealth Partners LTD. bought a new position in shares of bluebird bio during the third quarter valued at $106,000. Belpointe Asset Management LLC bought a new position in shares of bluebird bio during the third quarter valued at $110,000. Finally, NuWave Investment Management LLC increased its holdings in shares of bluebird bio by 10,811.1% during the third quarter. NuWave Investment Management LLC now owns 982 shares of the biotechnology company’s stock valued at $143,000 after acquiring an additional 973 shares in the last quarter.

About bluebird bio

bluebird bio, Inc, a clinical-stage biotechnology company, focuses on developing transformative gene therapies for severe genetic diseases and cancer. Its product candidates include Lenti-D that is in Phase II/III clinical trials for the treatment of cerebral adrenoleukodystrophy, a rare hereditary neurological disorder; and LentiGlobin, which is in various clinical studies for the treatment of transfusion- transfusion-dependent ß-thalassemia and severe sickle cell disease.

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