Praxis Precision Medicines (NASDAQ:PRAX) Posts Earnings Results, Beats Estimates By $0.80 EPS

Praxis Precision Medicines (NASDAQ:PRAX) posted its quarterly earnings results on Thursday. The company reported ($2.87) EPS for the quarter, topping analysts’ consensus estimates of ($3.67) by $0.80, FiscalAI reports.

Here are the key takeaways from Praxis Precision Medicines’ conference call:

• Ulixacaltamide and relutrigine remain on track for potential FDA decisions, with target dates around January 2027 and December 27, 2026, respectively. Praxis said neither program is expected to require an advisory committee meeting, and FDA mid-cycle reviews identified no significant efficacy issues.
• Praxis has substantially advanced its commercial preparations, including hiring and training the relutrigine field team, building the ulixacaltamide sales force, establishing distribution and supply networks, and developing patient-support programs. Management expects to be launch-ready ahead of the anticipated approvals.
• Enrollment in the EMERALD broad developmental and epileptic encephalopathy study exceeded its target at approximately 200 patients across more than 50 genetic etiologies. If positive, the company expects the data could support a supplemental filing for relutrigine in 2027.
• Vormatrigine’s POWER1 study failed its primary endpoint in highly refractory focal-onset seizures, although it met a key responder secondary endpoint. Praxis plans to amend POWER2 and POWER3 based on learnings about dose, treatment duration, and patient selection, with both studies expected to restart by the fourth quarter.
• Second-quarter operating expenses increased to $96.9 million and operating cash usage rose to $78 million, reflecting greater development and commercial spending. Praxis ended the quarter with $1.4 billion in cash and marketable securities, which management believes funds operations into 2028.

Praxis Precision Medicines Stock Performance

NASDAQ:PRAX traded up $50.93 during midday trading on Thursday, reaching $370.16. 1,507,115 shares of the stock traded hands, compared to its average volume of 320,663. The stock has a market capitalization of $10.32 billion, a P/E ratio of -27.69 and a beta of 2.78. The company has a fifty day moving average of $303.77 and a 200 day moving average of $315.47. Praxis Precision Medicines has a 12 month low of $37.19 and a 12 month high of $382.54.

Analysts Set New Price Targets

PRAX has been the topic of several analyst reports. Jefferies Financial Group reiterated a “buy” rating on shares of Praxis Precision Medicines in a research report on Thursday, May 7th. Deutsche Bank Aktiengesellschaft reaffirmed a “buy” rating and set a $374.00 price objective (down from $420.00) on shares of Praxis Precision Medicines in a research note on Tuesday, June 2nd. Truist Financial set a $616.00 price target on shares of Praxis Precision Medicines and gave the stock a “buy” rating in a report on Tuesday, June 2nd. Royal Bank Of Canada started coverage on shares of Praxis Precision Medicines in a research note on Wednesday, June 17th. They issued an “outperform” rating and a $449.00 target price on the stock. Finally, Weiss Ratings reaffirmed a “sell (d-)” rating on shares of Praxis Precision Medicines in a research note on Wednesday, May 27th. Four investment analysts have rated the stock with a Strong Buy rating, fifteen have assigned a Buy rating, one has given a Hold rating and two have given a Sell rating to the company’s stock. Based on data from MarketBeat.com, Praxis Precision Medicines currently has a consensus rating of “Moderate Buy” and a consensus target price of $563.85.

Insider Buying and Selling at Praxis Precision Medicines

In related news, Director Jill Desimone sold 11,600 shares of the firm’s stock in a transaction dated Wednesday, June 24th. The stock was sold at an average price of $311.32, for a total value of $3,611,312.00. Following the sale, the director directly owned 2,337 shares of the company’s stock, valued at $727,554.84. This trade represents a 83.23% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Corporate insiders own 3.00% of the company’s stock.

Hedge Funds Weigh In On Praxis Precision Medicines

Several hedge funds have recently made changes to their positions in the business. Legal & General Group Plc lifted its holdings in shares of Praxis Precision Medicines by 0.9% during the third quarter. Legal & General Group Plc now owns 16,824 shares of the company’s stock valued at $892,000 after purchasing an additional 154 shares in the last quarter. Creative Planning raised its holdings in shares of Praxis Precision Medicines by 2.5% during the third quarter. Creative Planning now owns 6,660 shares of the company’s stock valued at $353,000 after purchasing an additional 165 shares during the last quarter. Coastal Bridge Advisors LLC lifted its position in Praxis Precision Medicines by 8.0% during the fourth quarter. Coastal Bridge Advisors LLC now owns 4,154 shares of the company’s stock valued at $1,224,000 after purchasing an additional 308 shares during the period. Tower Research Capital LLC TRC boosted its holdings in Praxis Precision Medicines by 24.3% in the second quarter. Tower Research Capital LLC TRC now owns 1,837 shares of the company’s stock worth $77,000 after purchasing an additional 359 shares during the last quarter. Finally, Los Angeles Capital Management LLC bought a new stake in Praxis Precision Medicines in the 4th quarter worth approximately $163,000. 67.84% of the stock is owned by hedge funds and other institutional investors.

Praxis Precision Medicines Company Profile

Praxis Precision Medicines is a clinical-stage biopharmaceutical company focused on discovering and developing precision therapies for disorders driven by neuronal excitability. The company applies translational neuroscience and genetic insights to design small molecule drugs that target specific ion channels and receptor subtypes implicated in neurological and psychiatric conditions. Its research aims to address unmet needs in rare epilepsies, essential tremor, treatment-resistant depression and other central nervous system (CNS) disorders.

The company’s pipeline includes several lead candidates at various stages of development.