Avadel Pharmaceuticals (NASDAQ:AVDL) Shares Gap Down on Disappointing Earnings

Avadel Pharmaceuticals plc (NASDAQ:AVDL)’s share price gapped down prior to trading on Wednesday after the company announced weaker than expected quarterly earnings. The stock had previously closed at $18.18, but opened at $15.89. Avadel Pharmaceuticals shares last traded at $16.98, with a volume of 1,126,731 shares trading hands.

The company reported ($0.30) EPS for the quarter, missing the consensus estimate of ($0.25) by ($0.05). The business had revenue of $27.18 million during the quarter, compared to the consensus estimate of $25.89 million. During the same quarter in the previous year, the business earned ($0.48) earnings per share. Avadel Pharmaceuticals’s revenue for the quarter was up 2617.8% compared to the same quarter last year.

Wall Street Analyst Weigh In

A number of analysts have recently issued reports on the stock. Needham & Company LLC reiterated a “buy” rating and set a $22.00 price objective on shares of Avadel Pharmaceuticals in a research note on Wednesday. Craig Hallum lifted their price target on shares of Avadel Pharmaceuticals from $22.00 to $23.00 and gave the stock a “buy” rating in a research note on Thursday. UBS Group assumed coverage on shares of Avadel Pharmaceuticals in a research report on Tuesday, February 6th. They issued a “buy” rating and a $21.00 price objective for the company. HC Wainwright lifted their target price on Avadel Pharmaceuticals from $25.00 to $27.00 and gave the stock a “buy” rating in a research report on Thursday. Finally, Oppenheimer raised their price objective on Avadel Pharmaceuticals from $27.00 to $29.00 and gave the company an “outperform” rating in a research note on Tuesday, March 5th. Six investment analysts have rated the stock with a buy rating, Based on data from MarketBeat.com, the company currently has a consensus rating of “Buy” and a consensus price target of $24.17.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently modified their holdings of the business. Chilton Capital Management LLC bought a new position in Avadel Pharmaceuticals in the first quarter worth about $51,000. BNP Paribas Financial Markets raised its position in shares of Avadel Pharmaceuticals by 60.5% during the 1st quarter. BNP Paribas Financial Markets now owns 4,469 shares of the company’s stock worth $75,000 after purchasing an additional 1,685 shares during the period. Quantbot Technologies LP bought a new stake in shares of Avadel Pharmaceuticals in the 3rd quarter worth approximately $78,000. Quarry LP acquired a new position in Avadel Pharmaceuticals during the 4th quarter valued at approximately $120,000. Finally, Claro Advisors LLC bought a new position in Avadel Pharmaceuticals during the 1st quarter worth $172,000. 69.19% of the stock is owned by institutional investors and hedge funds.

Avadel Pharmaceuticals Price Performance

The stock has a market capitalization of $1.43 billion, a price-to-earnings ratio of -7.76 and a beta of 1.61. The company has a 50-day simple moving average of $16.75 and a two-hundred day simple moving average of $14.39.

About Avadel Pharmaceuticals

Avadel Pharmaceuticals plc operates as a biopharmaceutical company in the United States. Its lead product candidate is LUMRYZ, a formulation of sodium oxybate, which is in a Phase 3 clinical trial for the treatment of excessive daytime sleepiness or cataplexy in adults with narcolepsy. The company was formerly known as Flamel Technologies SA and changed its name to Avadel Pharmaceuticals plc in January 2017.